Business news from Ukraine

JTI UKRAINE: AEO STATUS HOLDERS SEE FIRST PREFERENCES IN CUSTOMS CLEARANCE

Companies with the status of an authorized economic operator (AEO) at the moment cannot yet take advantage of all its opportunities, since bylaws and algorithms for the implementation of preferences granted to AEO status holders have not been developed.
Director General of PrJSC JT International Ukraine (Kremenchuk, Poltava region) Viktor Ivanov told Interfax-Ukraine agency on Tuesday about the influence of this status on the activities of the tobacco manufacturer JTI Ukraine, the first and only holder of the AEO status in the country.
“The AEO status has not yet become a real competitive advantage, although there is indeed an image advantage in relations with the customs authorities. Even before the AEO status was obtained, we had a constructive dialogue and effective cooperation with the customs. Now, there are new mutual opportunities. We are waiting for customs simplifications begin to be fully realized,” Ivanov said.
Legally, possession of the status of the AEO, as a kind of “certificate of trust” to the enterprise from the side of customs, provides it with significant advantages and simplifications in its work. In particular, the out-of-turn registration of customs declarations, a simplified declaration procedure by the customs authority, the use of a specially defined traffic lane at a checkpoint, etc.
Ivanov said that this status provides exclusively logistical advantages, and affects production indirectly through the acceleration of logistics (customs clearance and delivery of necessary materials, spare parts, tobacco, etc.). “In terms of logistics, in recent months we have felt that customs clearance of our goods is a priority and comes first. Also, the number of occurrences of automatic risks when importing/exporting our goods has decreased, therefore, the number of more thorough procedures for checking or inspecting goods has decreased. We believe that it was the AEO status that made it possible to reduce the number of automatic risks,” the director general said.
Ivanov said that apart from the right of priority customs clearance of goods and reduction of automatic risks during customs clearance, the company did not feel any other changes. So, for example, the announced separate traffic lanes for the transport of companies with the AEO status at customs points have not yet been equipped.
“As far as we know, there are still no bylaws, the algorithms for the implementation of these simplifications have not yet been developed. According to our information, they are still under development. Therefore, we cannot use all the advantages that the AEO status gives,” the director of JT International Ukraine said.
According to him, to improve the situation, it is necessary to accelerate the development and implementation of bylaws that provide benefits for companies with AEO status.
Ivanov also said that JTI Ukraine has repeatedly received offers from various organizations to participate in roundtables or seminars to share the experience of preparing for the assessment and the very assessment of compliance with the AEO criteria. Customs representatives also took part in these events, shared their experience and talked about the aspects that need to be paid attention to when submitting an application and self-assessment questionnaire, and the assessment procedure.
As reported, the AEO authorization program was launched in Ukraine in August 2020.

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KYIVSTAR GETS STATUS OF MICROSOFT GOLD PARTNER

The Kyivstar mobile operator has received the Microsoft Gold Certified Partner status under the Microsoft partnership program in four competencies, the company has said.
According to the press release, in order to obtain the Microsoft Gold Certified Partner status, Kyivstar’s cloud services development and implementation specialists have passed exams, passed certification and confirmed the following competencies: Cloud Productivity, Data Platform, Small and Midmarket Cloud Solutions, Windows and Devices.
“The evolution of Kyivstar from a traditional mobile operator into a provider of integrated technological convergent solutions, in particular in the field of big data processing, artificial intelligence and cloud technologies, is not only our advantage, but also a strategic aspiration. Each implemented project or such achievement as the Microsoft Certified Partner status, helps us prove our expertise and remain a reliable partner for business,” Illia Polshakov, the director of new business development at Kyivstar, said.
The Microsoft Gold Certified Partner status provides the mobile operator with a number of advantages, including flexible and quick access to innovative Microsoft materials, information about developments, solutions and products, training programs, as well as access to technical and consulting support, the company emphasizes.
“The acquisition of Gold level competencies by Kyivstar demonstrates the necessary knowledge, relevant experience and certification of specialists in specific areas of Microsoft solutions. Together we provide Ukrainian business not only with innovative services and products, but also accelerate the process of digital transformation of our customers, create opportunities for building a more successful, profitable and competitive business,” Daniil Biktimirov, Microsoft Partner Development Manager in Central and Eastern Europe, said.
The operator said that in general Kyivstar has ten silver and gold competencies, which were received by 20 specialists of the operator.

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UKRAINIAN STATE FISCAL SERVICE AUTHORIZES EXPORTER STATUS TO 239 ENTERPRISES THAT SUPPLY GOODS TO EU

The State Fiscal Service (SFS) has announced that authorized exporter status has been granted to 239 enterprises that supply goods to the European Union. “In Ukraine, 239 enterprises that export goods to the EU countries received authorized exporter status as of July 2, 2019,” the agency said on Facebook.
As explained by the SFS, these companies can process goods at customs, using a simplified procedure, that is, without issuing a EUR.1 certificate, they can independently declare the preferential origin of goods in commercial documents.
In addition, the SFS noted that a Finance Ministry order amending the procedure for granting and cancelling such status by the customs came into force on June 21 this year.

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STATUS OF AYURVEDIC MEDICATIONS SHOULD BE APPROVED FOR THEIR POPULARIZATION IN UKRAINE

The status of Ayurvedic medications from the point of legislation should be approved for their popularization in Ukraine, in particular, it should be determined if they are medicines, participants of a roundtable held at Interfax-Ukraine on Tuesday said. President of the Indian Pharmaceutical Manufacturers’ Association (IPMA) Dr. Ramanan Unni Parambath Menon said that at present, Indian Ministry of Yoga and Ayurveda (the Ministry of AYUSH) is attempting to make regulatory agencies of different countries to recognize Ayurvedic medications. “We want that Ayurvedic medications are registered as medications of alternative medicine. We are working on making Ukrainian regulatory agencies to recognize them,” he said.
In turn, President of Euro Lifecare Sanjeev Bhagat said that according to Ukrainian regulatory requirements, currently Ayurvedic medications could be registered only as nutritional supplements, which moderates trust of consumers.
“India has a separate pharmacopoeia for Ayurvedic medications. They are considered medicines, not nutritional supplements. However, Ukraine does not have alternative medicine and the country does not have special rules for these medications, and they are registered as nutritional supplements. This has a lot of drawbacks,” he said.
Bhagat said that when Ayurvedic medications are imported as nutritional supplements 20% VAT and 10% duty are imposed on them, while 7% VAT is imposed on medicines. “The price of the medications becomes higher, and it is not interesting for us to bring them,” he said.
Commercial Director of Organosyn Ltd. Svitlana Sichkar said that Ayurvedic medications are often registered in Ukraine as nutritional supplements. “The situation is somewhat double: on the one hand, registration is not required [for Ayuvedic drugs] and this saves time for the company. We can immediately represent the product in the market. At the same time, there is a certain distrust of nutritional supplements and there are restrictions on indications for their prescription. These drugs cannot be included in some mandatory medication protocols,” she said.
At the same time, Sichkar said that recently the trust of doctors in Ayurvedic drugs is growing: “Doctors are ready to prescribe these drugs if they see that the product is really effective.”

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