Thursday, August 27, 2015

Cabinet asks Rada to greenlight privatization of Ukrspirt, Artemsil and another 372 SOEs

The Cabinet of Ministers proposed the Verkhovna Rada to lift the ban on privatization of 374 state owned enterprises of the agricultural sector, including Ukrspirt concern, monopolist on the ethanol market, and the major salt producer Artemsil, according to government-proposed bill No.2519a.

According to the memo to the bill, of said 374 companies, 116 have already been eliminated, 78 - reorganized, and 180 - do not meet the requirements of the Law of Ukraine "On privatization of state property."

The government has also proposed Rada to ban the purchase of SOEs by the residents of the aggressor state, as well as individuals and legal entities linked with terrorism or subject to international sanctions.


As UNIAN reported earlier, the government has repeatedly stated that the factories of Ukrspirt concern would be sold separately in order to prevent the dominant position of private companies in the market.

In early June the Ministry of Agrarian Policy has approved a list of the top 100 state-owned agricultural enterprises to be privatized.

Earlier, the Ministry stated that the it expects to carry out privatization of 180 of its enterprises in 2015.
According to Ministry of Agrarian Policy, Artemsil saw a UAH 143.5 million net profit in 2014, while Ukrspirt finished the year with a UAH 532.2 million loss.

UNIAN memo. State-owned enterprise Ukrspirt was created in 2010 on a base of the eponymous concern. Out of 76 distilleries planned to join the SOE, only 41 have gone under its control. The Cabinet of Ministers has consistently advocated the privatization of Ukrspirt.

The state enterprise Artemsil , founded in 1881, is the largest producer of salt in Central and Eastern Europe, with the annual production capacity of 7 million tons. The number of employees is over 3,000. The company's products are exported to 22 countries.






No comments:

Post a Comment