Teys Bros

Ukraine - Second only to Nigeria for corruption

31 Aug 2012

Despite the fact that Ukraine's history reaches back to the beginning of civilisation in Europe, many of the Ukrainian national institutions have been existing since only 1991.
 
 
Today, Ukraine, being a large European economy, has a well-developed industrial base, the rich farmlands, highly trained labour force and a good education system. It is relatively rich in natural resources.
 
Ukraine possesses such an important energy sources, like coal, hydroelectricity and nuclear fuel raw materials. 

Ukraine has a well-developed metal industry; another important branch is country's chemical and petrochemical industry.
 
The latter in particular produces the high quality mineral fertilisers. 

The goods that are manufactured in Ukraine include metallurgical equipment, diesel locomotives, tractors, automobiles.
 
The country possesses a massive high-tech industrial base, including electronics, arms and space industries.
 
Ukraine is a leading producer of grain, sugar, meat and milk products. 

The President of Ukraine Viktor Yanukovych proclaimed a modernisation of Ukraine as a main priority policy for the nearest future.
 
First of all it means the modernisation of economy: support of hi-tech manufactures, improvement of an investment climate, and increase of energy efficiency.
 
European integration, including EU membership, is a key priority of the foreign policy of Ukraine.
 
At the final stage are the Ukraine-EU negotiations on conclusion of Treaty on association, the inalienable part of which is the establishment of a free trade zone.
 
Important foreign policy priority is strengthening of economic co-operation and trade with traditional and new partners in particular in Latin America, Asia and Africa.
 
Pakistan is our longstanding and time tested partner. 

MINERAL RESOURCES The mineral resources of the country are significant and varied.
 
Ukraine belongs to the group of countries with the medium level of mineral resources supply.
 
Reserves of some of them exceed the country's needs in several times (native sulphur, mercury, graphite, bromine, kaolin), of others - one and half - two times (iron, manganese, titanium ore, kitchen salt, raw materials for glass production).
 
All in all, over 90 kinds of mineral resources are extracted from over 9 thousand explored deposits in Ukraine.
 
The total of 113 kinds of mineral resources has been discovered in 20 thousand deposits. 

INDUSTRY The main sector of Ukraine's economy.
 
In the total industrial output, the highest shares belong to ferrous metallurgy, food, machine-building, metalworking, chemical and petrochemical industries, power engineering, coal industry.
 
Ukraine has one of the largest power sectors, including developed oil, and gas pipeline system.
 
Ukraine exports electricity to Belarus, Hungary, Slovakia, Moldova and other European countries. 

Approximately 50% of electricity was produced by nuclear power plants, the rest by thermal, hydro and other power plants.
 
So, Ukraine has considerable experience in the construction and maintenance of power plants, and is ready to share this experience with partners. 

FUEL AND ENERGY COMPLEX Includes fuel industry (coal, oil, oil processing, gas, peat, shale oil) and power engineering.
 
Export orientation is specific of coal production and power generation.
 
Ukraine's coal industry produces fossil and brown coal.
 
Donbas is the main area of fossil coal production.
 
The Donbas coal is extremely valuable (anthracite, coking coal), but the cost of its production is very high due to the deep deposition and small thickness of beds. 

Oil and gas industry exploits the deposits of the Dnieper-Donets, Carpathian and Black Sea basins.
 
The country's strong oil-processing industry manufactures over 50 kinds of various petroleum products.
 
Power engineering in Ukraine is represented by thermoelectric, hydroelectric, nuclear power plants and power stations using non-traditional sources of energy, as well as the power line network.
 
The core of power engineering is made by the United Energy System of Ukraine.
 
A programme of state support for untraditional and renewable sources of energy has been developed in Ukraine.
 
Electricity networks are operated by over 70 enterprises.
 
By their capacity, provision with electrical equipment, means and scope of automation, Ukraine's power supply networks meet the present-day power engineering standards.
 
The United Energy System of Ukraine generated 187,9 billion kWh of electricity in 2010. 

METALLURGY COMPLEX Ukraine operates a mighty metallurgy complex of ferrous and non-ferrous metallurgy.
 
Ferrous metallurgy encompasses extraction of iron and manganese ore, coking coal, ore enrichment, smelting of pig iron, steel, rolled steel, production of ferroalloys and pipes, powder metallurgy.
 
Ukraine has favourable conditions for the development of ferrous metallurgy: availability and compact location of various raw materials, significant water resources close to deposits of raw materials, a dense transport network, metal-consuming machine building, qualified work force. 
 
Ukraine is among the world ten largest steel-producing countries.
 
Ukraine's non-ferrous metallurgy encompasses extraction, enrichment and treatment of non-ferrous metal ore and scrap metal. 

MACHINE BUILDING COMPLEX The main sectors of the branch are heavy and electrical machine building, instrument-making and machine-tool construction, agricultural, transport machine building, production of equipment for light and food industry, rocket and space industry, defence industry.
 
Some kinds of machine building produce are export-oriented (instruments, machine-tools, military equipment, etc).
 
Ukraine has favourable conditions for the development of machine building: active household and industrial demand, a developed raw material base presented by metallurgical products, a strong research and development base and qualified personnel.
 
Machine building employs metal products and construction materials manufactured by the chemical, timber and light industries.
 
The majority of sectors of Ukraine's machine building complex are labour-consuming.
 
Heavy machine building manufactures large-sized metal-consuming units for the extractive industry, power engineering, metallurgical plants, chemical factories. 

CHEMICAL COMPLEX Encompasses mining chemicals, heavy chemicals, organic synthesis, rubber-asbestos, paint and varnish, chemical and pharmaceutical, fragrance and cosmetic industries.
 
Ukraine has favourable conditions for chemical industry development: sufficient and versatile raw material base, active household and industrial demand, modern scientific research base.
 
Chemical industry is export-oriented, especially as regards non-organic chemical products and fertilisers.
 
They account for over 10% of Ukraine's exports of goods.
 
Recently, chemical industry commenced production of over 60 new kinds of import substitution products. 

TIMBER INDUSTRY COMPLEX Includes forestry, woodworking, pulp-and-paper industry and wood chemistry.
 
The area of Ukraine's forest resources is more than 10 million hectares.
 
Prevailing sorts are valuable coniferous (pine, fir, silver fir) and deciduous trees, the most important of the latter being oak, beech, sycamore and ash-tree.
 
Other valuable raw materials for the production of furniture include maple, cherry-tree, pear-tree. 

Timber is cut in the western regions of Ukraine (Transcarpathian, Ivano-Frankivsk, Lviv, Chernivtsi) and in Polissya.
 
The national woodworking industry encompasses timber sawing, production of furniture, containers, plywood, parquet, boards, matches.
 
Four-fifth of all big specialised centres of timber sawing industry is concentrated in the Carpathian area.
 
The largest woodworking enterprises are located in big cities (Kyiv, Kharkiv, Dnipropetrovsk, Donetsk, Odesa, etc).
 
Development of pulp-and-paper and wood chemical industries requires compact combination of raw materials, water and electricity.
 
For this reason, enterprises producing paper and carton are mainly concentrated in the areas of timber cutting. 

CONSTRUCTION COMPLEX Includes production of construction materials and capital construction.
 
Production of construction materials encompasses extraction and processing of minerals used in construction (sand, gravel, crushed stone, etc), production of binding (cement, stucco), wall (brick), roofing (slate), thermal insulation materials, prefabricated concrete and ferroconcrete structures, structural clay products, glass, etc.
 
All branches of the construction complex rely on domestic raw materials.
 
Construction material industry enterprises are evenly distributed over the country's territory.
 
Effective enterprises work in the cement industry, part of their produce goes for export. 

PRODUCTION OF CONSUMER GOODS Light industry includes textile, clothing, knitting, leather and footwear, fur and small-wear industries.
 
Its main branch is the textile industry that accounts for half of the branch's fixed production assets, in terms of cost. 

Ukraine's clothing, knitting, leather and footwear, and small-wear industries, relying on the domestic raw material base, are consumer-oriented, so, their enterprises are concentrated mainly in big cities.
 
The main branches of Ukraine's food industry are production of sugar, oil, meat, dairy products, canned food, alcohol, salt, and wine.
 
The branch owes its export potential to sugar, preserved meat and milk products, oil. Ukraine's food industry is very attractive for investment. 

Meat industry operates three main lines of business - production of meat, sausage, and meat canning.
 
The largest enterprises are situated in big cities.
 
Ukraine is famous by its dairy industry enterprises specialising in butter, cheese making and production of preserved milk products.
 
Oil-producing industry operates more than 30 big enterprises and over 400 oileries.
 
Flour-and-cereals, baking, pasta, confectionery, starch-syrup, alcohol, fruit canning industries and brewing trade are represented in all regions of Ukraine.
 
There are important enterprises specialising in tobacco, fish-processing, salt industry, bottling of mineral waters. 

Ukraine's printing industry manufactures different kinds of printed products - books, magazines, newspapers, cartographic products, labels, tickets, forms, etc.
 
It operates all-purpose and specialised polygraphic plants and associations, newspaper, magazine and book printing houses, auxiliary enterprises, printer's ink factories. 

AGRICULTURE The conditions of Ukraine are extremely favourable for the development of agriculture: agroclimatic resources (flat relief, moderately continental climate, fertile earth - chernozem, or black soil); significant demand of the population for foodstuffs; developed agricultural machine building; dense network of motorways; significant experience of farming, and working skills of the population.
 
Farming lands cover the area of 42.4 million hectares, or over 70% of the entire territory.
 
The plough-up rate in Ukraine is high - 80%. Farming lands are more ploughed up in the Forest Steppe, less - in Polissya. 

Plant growing is the main branch of agriculture in Ukraine. Grain, industrial and forage crops, fruit and vegetables are grown here.
 
The main grain crops are winter wheat and rye.
 
The most favourable soil and climatic conditions for winter wheat growing are in the Steppe and Forest Steppe, winter rye - in Polissya and the Carpathian area.
 
The main grain fodder crops are barley (with the highest concentration in the south of the Steppe and at the foothills of the Crimean Mountains), maize (south of Forest Steppe, Steppe) and oats (Polissya, the Carpathian area).
 
As regards cereals, in Ukraine, they cultivate mainly buckwheat (Polissya, Forest Steppe), millet (Forest Steppe, Steppe). Popular leguminous plants are pea and soy.
 
The main of industrial crops are sugar beet, sunflower, hop and long-fibred flax. 80% of sugar beet crop falls on Forest Steppe.
 
Sunflower is cultivated in the Steppe zone. Crops of hop and long-fibred flax are concentrated in Polissya.
 
They grow over 100 various species of vegetables in Ukraine.
 
The highest harvest of potato is gathered in Polissya and the Carpathian area.
 
Gardening is well developed in the Forest Steppe and Steppe zones, viniculture - in the Black Sea regions, Transcarpathia, the Crimea, cucurbit cultivation - in Mykolayiv and Kherson regions.
 
The main branches of stock-raising are cattle-breeding, pig-breeding and poultry farming. Apiculture, rabbit-breeding, horse-breeding, pond fishery are also developed. 

Specific of Ukraine's agriculture is zonal specialisation.
 
Polissya specialises in cultivation of potato, flax, cattle and pig breeding, grain growing, apiculture.
 
The Forest Steppe regions specialise in sugar beet, grain, cattle and pig breeding, poultry farming, vegetable-growing.
 
The Steppe specialises in growing grain, sunflower, cattle, pig and sheep breeding, vegetable-growing, viniculture, cucurbit cultivation and fruit-growing.
 
In the mountainous areas, people raise sheep, engage in apiculture. Ukraine is a large exporter of agricultural produce.
 
The structure of exports is dominated by grain crops, sunflower seed, vegetables. 

TRANSPORT COMPLEX Ukraine develops all kinds of transport.
 
The Ukrainian railway network totals more then 22 thousand km.
 
There are six regional railway administrations in Ukraine - Lviv, South-Western, Southern, Odesa, Dnieper and Donetsk.
 
The most important domestic rail routes are Donbas - Kryvyi Rih, Kharkiv - Kyiv- Lviv, Kharkiv - Sevastopol, Lviv - Odesa.
 
The largest railway junctions with developed terminal and storage facilities are Kyiv, Kharkiv, Poltava, Dnipropetrovsk, Zaporizhia, Lozova, Yasynuvata, Debaltseve, Bakhmach, Zhmerynka, Odesa, Kovel, Lviv. 

Ukraine's sea transport is based on the shores of the Black Sea and the Sea of Azov.
 
The largest seaports are Odesa, Illichivsk, Pivdenny, Mykolayiv, Kherson, Mariupol, Berdiansk, Izmayil.
 
The structure of marine cargo transportation is dominated by ferrous and non-ferrous metal ores, coal, coke, oil and petroleum products, minerals and construction materials. 95% of the sea freight turnover falls on export/import operations. 

 
 
 
 
 
 
 

Source: Argentine Beef Packers S.A.

Cargill

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