$3 billion of foreign investment for Ukraine’s food industry
In 2019, the food industry’s profit in Ukraine exceeded the production average by 12 times compared to the previous 8 years. According to estimates by the Office of the National Investment Council, the industry’s capital investment has tripled, and net income has grown almost 46 times.
Despite the temporary decline in indicators during the pandemic — the industry is firmly catching up: in the summer, the industrial production index rose to 105% according to the State Statistics Service. 18 enterprises of the sector entered the 200 best Ukraine companies in terms of profit in 2019, with total revenue of about 173 billion uah. Also, half of the leaders of the food industry belong to foreign companies.
Currently, the food industry of Ukraine is the most attractive for foreign investors. In the first decade of 2020, enterprises’ capital increased by $ 7.1 million, 7.7% of revenues to all domestic sectors. Today, about $ 3 billion in foreign investment is concentrated in the industry. And the National Bank continues to record new revenues. The concentration of assets — $ 307-399 million — can be observed in the production of vegetable oil, animal fats, beverages, and meat and meat products.
Export potential is the secret of the industry’s attractiveness to foreign investors. For example, Horizon Capital focused on “fast-growing and export-oriented companies that use Ukraine’s competitive platform for global profits in the international market.”
In 2020, according to experts, in the Ukrainian food industry, about fifty active investment projects, most of which will be completed in 2021. Read more about the benefits of investing in the sector, appetites and the real cost of food for investors in the Ukrainian food industry in the column delo.ua.