News Tag: Canada
Ukrainian Export Commodities Benefiting from the FTAs between Ukraine, Canada and the EU

The Ministry of Economic Development and Trade of Ukraine in partnership with the Canada-Ukraine Trade and Investment Support Project (CUTIS) and the European Business Association presented a report “Ukrainian Export Commodities Benefiting from the FTAs between Ukraine, Canada and the EU” on February 15.

The research was conducted by the experts of the Ministry of Economic Development and Trade and the SE “Ukrainian Industry Expertise”, and supported by the CUTIS project.

According to CUTIS Project Director Brenda Lafleur, the main goal of the research was to support the development of Ukrainian export to Canada. ‘I met the authors of the report in Canada during their visit to Ottawa. In Ottawa they worked with the experts from The Conference Board of Canada. I am sure the results of the research will help Ukrainian businesses to find business opportunities and new niches both in the Canadian and European markets,’ Brenda Lafleur said.

Svitlana Mikhailovska, Deputy Director of EBA, paid attention to the importance of export diversification for Ukrainian business.

‘The results of the research help to identify the Ukrainian export commodity groups benefiting from three free trade agreements: between Ukraine and the EU, Ukraine and Canada, Canada and the EU. These trade agreements allow Ukrainian producers to import raw materials or export their products on preferable terms, mainly without paying any customs tariffs,’ Maxim Boroda, Senior Trade and Investment Analysis Expert at CUTIS said.

The research consists of two stages. At the first stage, Ukraine’s participation in value-added chains under FTAs between Ukraine, Canada, and the EU was analyzed. At the second stage, Ukrainian exports commodities benefiting from potential rules of origin cross-cumulation between Ukraine, Canada, and the EU were determined.

The research analyzed three possible value-added chains:

Option 1. A company imports raw materials from the EU, produces products in Ukraine and subsequently exports them to Canada. According to this business model, there are nine Ukrainian commodities benefiting from the FTA between Ukraine and the EU (DCFTA) and/or the FTA between Ukraine and Canada (CUFTA). In particular, apparel (including costumes), rubber and plastic products, and some machine engineering positions.

Option 2. A company imports raw materials from Canada, produces products in Ukraine and exports to the EU. According to the second business model, there are six Ukrainian commodities benefiting from the DCFTA and CUFTA. In particular, rubber and plastics, footwear, and some machine engineering positions.

Option 3. An EU based company imports raw materials from Ukraine and exports commodities to Canada. There are 28 Ukrainian commodities benefiting from the DCFTA and the CUFTA (mining, chemical industry, metallurgy, and machine engineering).

‘Although cross-cumulation is a theoretical opportunity at the moment, there are few successful cases of Ukrainian companies using preferable terms from both free trade agreements – the DCFTA and the CUFTA,’ Olzhana Rukas, Deputy Head of the Division of Regional and Preferential Trade Agreements, Department of Market Access and Cooperation with WTO, Ministry of Economic Development and Trade of Ukraine mentioned.

For example, one Ukrainian apparel producer, participating in the U CAN Export program of the CUTIS project, imports raw material from the EU and exports clothes to Canada.

Serhiy Kovaliov, Deputy Director of the Department of Export Development, Ministry of Economic Development and Trade of Ukraine summarized: ‘The research helps the Ministry not only to lay out priorities for Ukrainian exports promotion to Canada and the EU markets, but also to find out the best opportunities for investment in/outsourcing of production in Ukraine.’

To download the presentation please use the link

The Canada-Ukraine Trade and Investment Support (CUTIS) Project is a 5-year (2016-2021) Canadian development assistance initiative designed to lower poverty in Ukraine through increasing exports from Ukraine to Canada and investment from Canada to Ukraine.

The CUTIS project implements U CAN EXPORT Support Program in five priority sectors: clothing, footwear, furniture, confectionery, and IT services.

Ukraine has doubled the export of agricultural products to Canada – Olga Trofimtseva

The prospects of trade development and cooperation between Canada and Ukraine were discussed during a meeting between the representatives of the Ministry of Agrarian Policy of Ukraine and Ambassador of Canada to Ukraine Roman Waschuk.

Ukraine has increased the export of agricultural products to Canada almost twice. According to the acting Minister of Agrarian Policy Olga Trofimtseva, Ukraine exported agricultural products to Canada in 2018 in the amount of $ 9.9 million, while in 2016 it was only $ 4.9 million.

Import of agrarian products and food from Canada was estimated at $ 49.9 million in 2018. “Again, as I often point out, these figures are too small and do not reflect the opportunities of bilateral trade in agribusiness among our countries. Therefore, the main directions of work for us in the near future are increasing trade volumes and diversification, “Olga Trofimtseva said.

Ukrainian producers have substantially expanded the export of agrarian products in certain areas, in particular:

  • juices – $ 5.7 million (↑ 140%)
  • chocolate – $ 330 thousand (↑ 40%)
  • sugar confectionery – $ 160 thousand (↑ 32%)
  • water with sugar – $ 260 thousand (↑ 50%)

According to Olga Trofimtseva, in 2018, thanks to the Canada-Ukraine free trade agreement (CUFTA) Ukraine started to export to Canada such products as:

  • corn
  • dried fish
  • frozen fruits and vegetables
  • dried vegetables
  • some oilseeds.

“My position is that trade is only part of bilateral cooperation in the agricultural sector. Therefore, the important issues in cooperation between Ukraine and Canada will be projects in the field of education and research, including such areas as bioeconomy and green economy, as well as cooperation in the field of agrotechnologies, “- Olga Trofimtseva said.

The Canada-Ukraine Free Trade Agreement (CUFTA) entered into force on August 1, 2017, and opened customs-free access to 98% of Canada’s market for Ukrainian companies. Canada’s situation is more complex. The duties were eliminated only for 72% of Canadian goods. The duties for the rest of 27% will be gradually reduced in compliance with transition periods – 3, 5, and 7 years.

Export to Canada: new training seminar for SMEs was held in Kropyvnytskyi

The CUTIS project (Canada-Ukraine Trade and Investment Support Project) in cooperation with chambers of commerce and industry has launched a series of training seminars for small and medium-sized businesses (SMEs) in regions.

The main goal is to present the new opportunities opened by the Free Trade Agreement between Canada and Ukraine (CUFTA) for SMEs.

A training session “How to export to Canada” was held on February 6 in Kropyvnytskyi. The event was organized by the Kirovograd Chamber of Commerce and Industry in cooperation with the CUTIS project.

Training seminar in Kropyvnytskyi brought together approximately 30 entrepreneurs from a wide range of sectors – agriculture and consumer products, agricultural machinery, clothing and footwear industry, handmade etc.

During the program, the following issues were discussed: development of the export strategy, searching for partners in the Canadian market, tariff and non-tariff regulation of export supplies to Canada, logistics, development of marketing strategy, use of e-commerce tools, government procurement etc.

Speakers:

  • Nadiya Pshenychna, a leading specialist of the Department of International Affairs of the Kirovograd Chamber of Commerce and Industry
  • Viktoriya Mikhailova, projects development manager of “Ukrposhta”
  • Tetyana Kotenko, Head of the NCP “Horizon 2020”
  • Yevgen Sozansky, partner of Xtheta Management, official partner of Shopify

Please find more details of the following events on the Facebook page of the CUTIS project (https://www.facebook.com/CUTISproject/). Do not miss a training session in your city! The next city is Odesa (February 21, https://www.facebook.com/events/374465973111381/) and Mariupol (February 27, https://www.facebook.com/events/220735485547806/).

Entrepreneurs from Kharkiv learned about new export opportunities to Canada

The CUTIS project (Canada-Ukraine Trade and Investment Support Project) in cooperation with chambers of commerce and industry has launched a series of training sessions for small and medium-sized businesses (SMEs) in the regions.

The main goal is to present the new opportunities opened by the Free Trade Area between Canada and Ukraine (CUFTA) for SMEs.

A training session “Canada as a trading partner” was held on January 23 in Kharkiv. The event was organized by the Kharkiv Chamber of Commerce and Industry in cooperation with the CUTIS project.

Training session in Kharkiv brought together more than 70 entrepreneurs from a wide range of sectors – agriculture and consumer products, construction, clothing and footwear industry, furniture production, pharmaceutical and cosmetics production, etc.

During the program, the following issues were discussed: development of the export strategy, searching for partners in the Canadian market, tariff and non-tariff regulation of export supplies to Canada, logistics, development of marketing strategy, use of e-commerce tools, government procurement etc.

Speakers:

  • Daria Antonenko, expert of the sector of analysis and property valuation of the Kharkiv Chamber of Commerce and Industry
  • Alla Saypanova, head of the sector of analysis and property valuation of the Kharkiv Chamber of Commerce and Industry
  • Viktoriya Mikhailova, coordinator for international products development “Ukrposhta”
  • Yevgen Sozansky, partner of Xtheta Management, official partner of Shopify
  • Ekaterina Kolesnik, Head of sales department of ZAMMLER Ukraine Logistics Group

Please find more details of the following events on the Facebook page of the CUTIS project (https://www.facebook.com/CUTISproject/). Do not miss a training session in your city! The next city is Kropyvnytskyi (February 6).

Export training for small business was held in Sumy

The CUTIS project (Canada-Ukraine Trade and Investment Support Project) in cooperation with chambers of commerce and industry has launched a series of trainings for small and medium-sized businesses (SMEs) in the regions.

The main goal is to present the new opportunities opened by the Free Trade Area between Canada and Ukraine (CUFTA) for SMEs.

More information, as well as a calendar of events you can find on the link.

This time we spent an extremely interesting and busy day in Sumy, where a training session was held. A topic – practical aspects of export to Canada. The event was organized in partnership with NGO “Young Scientists Council” and Sumy center for business information support.

Training in Sumy brought together more than 35 entrepreneurs from a wide range of sectors – agriculture, consumer products and alcoholic beverages, construction, clothing and footwear industry, industrial equipment, IT services.

Speakers:

  • Nadiya Kostyuchenko, Coach, Associate Professor of Sumy State University, NGO “Council of Young Scientists”
  • Dmytro Shvets, a lecturer at the Kyiv-Mohyla Business School, CEO of the consulting company Start Global – a strategy for entering the global markets and a systematic analysis of the Canadian market
  • Yulia Pavlenko, Director of the Department of International Operations “Ukrposhta”, initiator of the E-Export School project – e-commerce tools
  • Yevgen Sozansky, partner of Xtheta – the opportunity of Shopify platform

Please find more details of the following events on the facebook page of the CUTIS project (https://www.facebook.com/CUTISproject/). Do not miss training in your city! The next city is Kharkiv (January 23) and Kropyvnytskyi (February 6).

(Українська) Україна — Канада: зерна майбутніх інвестицій

Sorry, this entry is only available in Ukrainian.

Ukrainian export to Canada has grown by almost 50% – ambassador Andriy Shevchenko

Ukraine and Canada will hold talks this year on extending the effect of the free trade agreement to the sphere of services and investment, Ukraine’s Ambassador to Canada Andriy Shevchenko has said in an interview with Ukrinform.

“The text of the free trade agreement between Ukraine and Canada stipulates that two years after its entry into force, we will review it and see how it can be changed or extended. We already have a political arrangement that the agreement will be extended to the sphere of investment and services,” Shevchenko said.

According to him, this is first and foremost good news for Ukrainian IT experts and “also for all other representatives of the Ukrainian tertiary sector, since in that case they will be able to work in the best possible conditions with Canada.” “The agreement will turn two years in August 2019, and we have every chance of expanding the sphere of its effect this year,” the ambassador said.

In the first three quarters of 2018, the export of Ukrainian goods to Canada increased by 48.5%.

“The free trade agreement between Canada and Ukraine has already met our expectations and continues to justify them. The exports of Ukrainian goods to Canada grew by 48.5% for nine months of last year,” Shevchenko said.

According to him, some unexpected sectors showed growth. “It is very pleasant to note the growth in the sectors, where we could not predict it. For example, last year Ukraine became one of the main sellers of apple juice in Canada. This is a highly competitive market, where Ukrainians have found a niche for themselves,” the ambassador said.

He urged Ukrainian entrepreneurs to continue to look for ways to enter the Canadian market. “I deliberately cite this example to encourage Ukrainians to look for new growth areas, because the free trade agreement removed the absolute majority of administrative barriers and removed tariffs, greatly simplifying the process of trade between the states,” the ambassador summed up.

As known, the Ukraine-Canada Free Trade Agreement entered into force on August 1, 2018. The agreement cancels 98% of tariffs for Ukrainian exports to Canada and 72% of tariffs from Canada to Ukraine. Over the next seven years, the latter will increase to 98%. The agreement also mutually opens up public procurement markets. Certain sections of the document protect electronic commerce and intellectual property.

Source:  Ukrinform

Start your export to Canada: new free training sessions for Ukrainian SMEs in regions

The CUTIS (Canada-Ukraine Trade and Investment Support Project) project in cooperation with chambers of commerce and industry has launched a series of free training for small and medium-sized businesses (SMEs).

The main goal is to tell about the prospects of export to Canada and the new opportunities opened for Ukrainian business by the Free Trade Agreement between Canada and Ukraine (CUFTA).

The training sessions were held in Ivano-Frankivsk, Vinnitsa, Dnipro, Chernihiv, Lutsk, Kherson, Kyiv and Khmelnitsky.

We invite you to visit free training in your city:

January 17 – Sumy (https://www.facebook.com/events/376824589759585/)

January 23 – Kharkiv (https://www.facebook.com/events/2239363526390538/)

February 6 – Kropivnitsky (https://www.facebook.com/events/1845919805530749/)

February 21 – Odessa (https://www.facebook.com/events/374465973111381/)

February 27 – Mariupol (https://www.facebook.com/events/220735485547806/)

The experts of the CUTIS project, the Canada Ukraine Chamber of Commerce, the Export Promotion Office, as well as representatives of business, will take part in the training.

During the program, the following issues were discussed: development of the export strategy, searching for partners in the Canadian market, tariff and non-tariff regulation of export supplies to Canada, logistics, development of marketing strategy, use of e-commerce tools, government procurement etc

Please find more details on the facebook page of the CUTIS project (https://www.facebook.com/CUTISproject/). Do not miss the training in your city!

Canadian household spending in 2017 – infographics

Canada’s national statistical agency (Statistics Canada) has prepared a detailed report on Canadian household spending in 2017. The CUTIS project selected the most interesting figures and facts. We hope this information will help Ukrainian businesses more effectively assess opportunities in the Canadian market.

In 2017, the average Canadian household spent $63,723 on goods and services, up 2.5% from 2016. Spending varied across provinces, and was highest in Alberta ($72,957) and British Columbia ($71,001), in part due to higher expenditures on shelter in these provinces. For instance, households in British Columbia spent an average of $21,844 on shelter, while those in Alberta spent $21,068.

Households in New Brunswick spent the least on goods and services, averaging $52,608 in 2017. They also spent the least on shelter compared with households in other provinces at $12,692.

Shelter remained the largest budget item for households in 2017, at 29.2% of their total consumption of goods and services. Spending on transportation, the second-largest expenditure category, accounted for 19.9% of total consumption, followed by food expenditures at 13.4%.

Households spent an average of $18,637 on shelter, up 3.4% from 2016. In 2017, two out of every three Canadian households owned their home, and more than half of homeowners had a mortgage.

More information about Canadian households spending you can find on the graphic below.

Entrepreneurs from Khmelnytsky learned about new export opportunities to Canada

A training session “Practical aspects of export to Canada” was held on December 13 in Khmelnytsky. The event was organized by the Khmelnytsky Chamber of Commerce and Industry in cooperation with the CUTIS project.

Canada-Ukraine Trade and Investment Support Project (CUTIS) in cooperation with regional chambers of commerce and industry has launched a series of a training seminar for small and medium-sized businesses (SMEs).

The main goal is to tell the business about the prospects of export to Canada and the new opportunities opened by the Free Trade Agreement between Canada and Ukraine (CUFTA).

The training in the Khmelnytsky has brought together about 25 entrepreneurs from a wide range of industries.

During the program, the following issues were discussed: development of the export strategy, searching for partners in the Canadian market, tariff and non-tariff regulation of export supplies to Canada, logistics, development of marketing strategy, use of e-commerce tools etc.

In training took part:

  • Natalia Belyakova, Khmelnytsky Chamber of Commerce and Industry
  • Volodymyr Nagnibida, Arbitrator at the Chamber of Commerce and Industry of Ukraine
  • Lyudmila Yemchuk, Khmelnytsky Chamber of Commerce and Industry
  • Valery Mazepa, Ukrposhta project development manager
  • Ruslan Shutov, regional manager of OETI Ukraine & MD
  • Zoya Pavlenko, environmental expert of the CUTIS project
  • Mykola Pidfigurny, marketing specialist “Ship.Fish”

To get more information about training sessions please follow Facebook page of the CUTIS project (https://www.facebook.com/CUTISproject/). Do not miss the training in your city!