Business news from Ukraine

UKRAINE INCREASES ELECTRICITY PRODUCTION – FULL STATISTICS

Electricity production in the integrated power system of Ukraine in January-August 2021 increased by 6.4% (by 6.163 billion kWh) compared to the same period in 2020, to 102.559 billion kWh, according to recent data from the Energy Ministry.
According to the calculations of Interfax-Ukraine, nuclear power plants (NPP) for the eight months increased the generation of electricity by 8.1% – up to 55.279 billion kWh. In particular, production at Zaporizhia NPP amounted to 22.938 billion kWh (more by 27.4% compared to January-August 2020), Yuzhnoukrainsk NPP – 11.990 billion kWh (less by 0.4%), Rivne NPP – 12.988 billion kWh (less by 0.1%), Khmelnytsky NPP – 7.363 billion kWh (less by 8.9%).
Thermal power plants (TPP), as well as combined heat and power plants (CHPP) and cogeneration plants reduced their output by 3.4% – to 30.149 billion kWh. In particular, the generating companies of TPPs increased production by 3.7% – up to 23.922 billion kWh, while CHPPs and cogeneration plants – decreased by 23.6%, to 6.227 billion kWh.
Hydro power and pumped storage power plants increased production by 50.2%, to 7.539 billion kWh, while block stations decreased by 13.3%, to 1.099 billion kWh.
Electricity production by unconventional sources (wind farms, solar power plants, biomass) increased by 9.6%, to 8.493 billion kWh.
The share of nuclear power plants in the structure of electricity production amounted to 53.9% (in January-August 2020 – 53%), thermal power plants, thermal power plants, CHPPs and cogeneration plants – 29.4% (32.4%), hydroelectric power plants and pumped storage power plants – 7.4% (5.2%), block stations – 1.1% (1.3%), alternative sources – 8.3% (8%).
In August 2021, electricity production in the integrated power system of Ukraine increased by 6.7% (by 761.7 million kWh) compared to the same month last year, to 12.16 billion kWh.
In addition, the supply of heat energy for the eight months increased by 11.8% (by 1.511 million Gcal) compared to the same period last year, to 14.273 million Gcal.

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USDA FORECASTS PRODUCTION OF WHEAT IN UKRAINE AT 33 MILLION TONNES

In its September report, the U.S. Department of Agriculture (USDA) kept the forecast for the production of Ukrainian wheat in the 2021/22 year (July-June) at 33 million tonnes, and its exports at 23.5 million tonnes, which is in line with the Department’s forecast published in August. In the September report, the USDA also kept the forecast for the corn harvest in 2021/22 at 39 million tonnes, and its exports from Ukraine at 32 million tonnes.
As reported, from the beginning of 2021/22 and as of September 10, 2021, Ukraine exported 10.29 million tonnes of grains and legumes, which is 12% more than on the same date of the previous year. Some 5.92 million tonnes of wheat were exported (4.1% less than on the same date 2020/21), 2.99 million tonnes of barley (a rise of 24.7%), 1.34 million tonnes of corn (2.2 times up); 24,700 tonnes of flour (33.7% less).

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UKRAINE INCREASES COAL PRODUCTION

Coal mining enterprises of Ukraine in January-August 2021 increased production of run-of-mine coal by 6.2% (by 1.154 million tonnes) compared to the same period in 2020, to 19.681 million tonnes, according to data from the Ministry of Energy.
According to the calculations of Interfax-Ukraine, in particular, coal mining enterprises managed by the ministry increased production by 2.2 times over the eight months of this year (by 2.223 million tonnes), to 4.021 million tonnes, which is largely due to the return of Dobropilliavuhillia assets from DTEK’s lease.
The mines of Donetsk region over the eight months of this year ensured production of 8.129 million tonnes of coal (more by 21.4% compared to January-August 2020), Luhansk – 176,700 tonnes (more by 33.6%), Dnipropetrovsk – 10.506 million tonnes (less by 2.9%), Lviv – 858,100 tonnes (more by 1.1%), and Volyn – 11,000 tonnes (less by 57.6%).
In August 2021, production of run-of-mine coal in the country fell by 27.6% (by 770,200 tonnes) compared to the same month last year, to 2.016 million tonnes.

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DOMESTIC PHARMACEUTICAL MANUFACTURERS IN TALKS TO LOCALIZE PRODUCTION OF INFLUENZA VACCINES IN UKRAINE

Domestic pharmaceutical manufacturers are negotiating to localize the production of influenza vaccines in Ukraine, the vaccine will be presented on the market in the first quarter of 2022, Deputy Minister of Health, Chief State Sanitary Doctor Ihor Kuzin said in an online interview with medical expert of the United Nations Children’s Fund (UNICEF) in Ukraine Kateryna Bulavinova.
“Ukrainian pharmaceutical manufacturers are negotiating to localize the production of influenza vaccines in Ukraine. It will be a tri- or quadrivalent vaccine in monodose syringes. We hope that such a vaccine will be available on the market during the first quarter of 2022,” he said.
Kuzin noted that it is also planned to purchase about 1 million doses of the vaccine.
“According to forecasts, we will have the same influenza epidemic season as last year. Since June we have been working with vaccine manufacturers and the pharmaceutical sector. Negotiations are underway to transfer a free vaccine to vaccinate health workers within the humanitarian aid framework. The amount of vaccine that will be supplied to the country for the pharmacy network will be slightly more than last year – about 1 million doses,” the deputy minister said.

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LINDSAY FROM UNITED STATES READY TO LAUNCH PRODUCTION IN UKRAINE

The Ministry of Agrarian Policy and Food has signed an agreement with Lindsay (the United States), a large international company, on the production of irrigation equipment and the creation of an industrial cluster in Ukraine to localize some of the products for irrigation. Minister of Agrarian Policy Roman Leschenko wrote about this on Facebook, commenting on the results of the working trip of President Volodymyr Zelensky and a number of government members to the United States made early September. “An agreement has been signed with Lindsay, the world leader in the field of irrigation equipment. It is ready to launch the production of a full range of irrigation equipment with a significant local content in Ukraine,” the minister wrote.
Leschenko said that each investment project that forms a new industry and provides new jobs will be accompanied by a profile minister in the “investment nanny” mode.
“On these terms, we will cooperate with Lindsay, because this is about creating a new cluster and a new technological base for the rational use of water resources: from pumps, irrigation machines to IT technologies, monitoring systems and artificial intelligence,” he wrote.
In addition, he recalled the $3 billion agreement signed on September 2 between Ukraine and the U.S. Export-Import Bank (EXIM), in which agriculture was named one of the priority areas of financing.

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UMCC INCREASES PRODUCTION

PrJSC United Mining and Chemical Company (UMCC), which manages Vilnohirsk Mining and Metallurgical Plant (Dnipropetrovsk region) and Irshansk Mining and Processing Plant (Zhytomyr region), significantly increased production indicators in August this year.
According to the company’s information on Monday, Vilnohirsk Mining and Metallurgical Plant last month fulfilled the planned targets for stripping by 111.7%, production by 111.5% and road transportation by 102.9%. At the same time, it is noted that the achieved production indicators are the highest since the beginning of the year.
The situation is similar with the implementation of the plan at Irshansk Mining: in August, the stripping plan was fulfilled by 123.3%, and production – by 100%.
“The increase in production indicators became possible thanks to restoration of the mining equipment fleet, reduction of technological downtime, reduction of equipment emergency stops and successful capital investments during the year,” the press release states.
In addition, it is reported that UMCC launched a large-scale social program in August. In order to reduce the organic matter pollution of surface waters supplied to a pumping and filtering station of a water supply shop of Vilnohirsk Mining for further treatment, in August the company began reconstruction of water intake facilities of the pumping station on the Dnipro River. This will provide the residents of Vilnohirsk and a number of settlements of Dnipropetrovsk region with high-quality drinking water.
The United Mining and Chemical Company began its actual activity in August 2014, when the government of Ukraine decided to transfer the property complexes of Vilnohirsk and Irshansk plants under its management.
UMCC sells its products to more than 30 countries of the world and is one of the world’s largest producers of titanium raw materials, occupying 4% of the world market. The main sales markets are the EU, China, Turkey, as well as the United States and African countries.

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