To Marketbasket For The World"
From Field To Table -- Production To Consumption
The Number ONE Engine Of Economic Growth
The "HOTTEST" Industry Group In Ukraine Today
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"Ukraine boosts over 22,000 enterprises operating in the FOOD PROCESSING INDUSTRY. Statistically, the industry occupies one of the lead positions in Ukraine's economy and accounts for THREE-FOURTHS of all retail goods turnover." "The industry overall has a capacity of 510,000 t of sugar beet and 8,400 t of sunseed processed daily. In one shift, a total 5,300 t of meat can be processed and 24 mn t of milk in a year. Enterprises in the sector are also capable of producing 870,000 t of confectionares, 162 mn dal of beer, 25mn dal of mineral water, 39.3 mn dal of grape wine, 1.4 mn dal of cognac, 76.6 mn bottles of champagne and around 9 mn t of salt. The industry is also responsible for the production of over 3,000 types of different products." "Beginning in 1991, the production of the main food products saw a considerable decline attributable to a reduction in the quantities of agricultural products being delivered for processing, a drop in consumer purchasing power and imperfect tax, price and credit policies. Besides that, the unregulatable problems with CIS countries and with Russia in particular, plus the change over of many enterprises in tolling schemes also had a negative impact on the industry." "As a result, Ukraine began losing traditional sales markets and export of sugar, vegetable oil and salt fell drastically. Due to outdated material and technical base of the majority of the enterprises and the drop in raw materials, the production of food products required a massive input of energy, which led to a decline in the competitiveness of Ukrainian products." "Despite this downward spiral, the situation is gradually starting to reverse owing to a series of measures taken and the passing of normative and legislative acts aimed at protecting the domestic manufacturer. Besides the attention of the state to the industry, investor's interest also helped in the reanimation of the food industry sector. TODAY IS IS THE GREATEST RECIPIENT OF ALL INVESTMENTS IN UKRAINE WITH A 21% SHARE. The share of domestically produced food products on the Ukrainian market has grown to 92%." "The Head of the State Food Department under the Agrarian Policy Ministry Leonid Svatkov believes 2000 was a BANNER YEAR for Ukraine in terms of FOOD PROCESSING. By the rate of production growth, the food processing sector is among the LEADING SECTORS OF UKRAINE'S ECONOMY." ..."EE: The food processing industry practically every month is closing out with growth indicators of 20-25%? What has been the growth rate for the entire year 2000?" "L.S.: The year growth rate is higher than 20%. We have forecasted that growth in the fat and oils sector will be higher than 33%, the confectionery sector--29%, and the hard alcohol sector--8-9%. This year, transfers to the national budget from the food processing sector were Hr 3.2-3.3 bn, which is 1bn more than last year..." ..."Modernization of the production process and enhancing the quality of products allowed us to emerge into foreign markets. Obolon beverage company operates along ISO-9000 standards and countries on five continents are familiar with the company's beer. But it is not only our beer that is known throughout the world. Ukrainian vegetable oil is also well received abroad with 75% of all oil exported going to such countries as Israel, the US and many Western European countries." "Nonetheless, one must not forget that the state of affairs in any sector also depends on the amount of investment put in. Food processing is one of the MOST attractive sectors for investment...Twenty-one percent of all investments in Ukraine in 2000 went to the food sector. As of Jan. 1, 2000, a total US $ 584.8 mn of foreign investments and Hr 700 mn of domestic investments were made into the food industry. This year alone investments will reach US $ 100 mn..."
An Excellent Review Of The Rapidly Growing Food Industry In Ukraine...Don't Miss This Special Report
"DONETSK...The Sarmat Brewery of Donetsk is seeking to attract additional investments to reconstruct and increase production capacities, as well as to increase operational funds, Sarmat director Stanislav Melynk announced. He added that while over 70% of the brewery's capacity is currently sold on the local market, after reconstruction in 2001, which will double the production capacity, Sarmat would significantly broaden its sales market."
"KYIV....Vegoil exports in Jan.-Sept. were 361,800 t for a total worth of US $ 156.6 mn, or four times higher than in 1999, stated the State Statistics Committee. This growth is explained by both the increase in oil production and active searching for new markets. Ukrainian vegetable oil is exported to 70 countries, with the main share going to Russia- 34%, Switzerland-22%, and France-12.5%. During the same period 549,200 t of vegetable o8il was produced in the country, which is double production volumes at this date in 1999." (S. Seliutina, Nov. 14).
"KYIV...The Sun Interbrew Company, which has received permission to acquire an 80% share package in the Rohan brewery, intends to invest EURO 11mn in the enterprise and EURO 66 mn in Ukraine overall. Local company representatives informed that investment will go towards developing the bottling line, pasteurization of beverages and modernization of the lager fermenting division. In particular, the installation of two new bottling lines, with a capacity of 50,000 bottles an hour at the brewery is planned for next year." "In addition, Sun Interbrew has intentions to build a malting house which will supply all Ukrainian breweries owned by the Sun group, including Yantar, Krym and Desna. Investments for this purpose will amount to EURO 55 mn."
"KYIV...The Dnipropetrovsk Confectionery Plant is planning this year to increase output by 40% to 32,000 t compared to last year according to Chair of the Board Liudmila Mussarova. She added that the increase in production will necessitate a transition to a 3-shift daily operation and that, currently, the plant's candy, biscuit, caramel and several chocolate lines are operating at 100% capacity." "Besides that, the increase in demand for the plant's capacity has stimulated the increase in production. 'We maintained our position on the market thanks to the fact that we never used preservatives, surrogates and stabilizers. We use only natural products, which attracts consumers to our products,' affirmed Mussarova. The plant also has plans to undertake re-equipping of technical lines by re-investing profits." |
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