The Cabinet of Ministers of Ukraine have adopted a
resolution to exclude the public joint stock company State Food and Grain
Corporation of Ukraine from the list of state property to be privatised in 2017.
The PJSC, known as DPZKU or ДПЗКУ was established in 2010 and,
according to their website, is the most powerful state vertically integrated
company in the agricultural sector and is the leader in storing, processing,
shipping and exporting of grains.
It owns 10% of the certified storage capacities and its port
terminals handle up to 6% of the annual volumes of grain exports while the
processing enterprises of the Corporation can provide up to 10% of domestic
market demand of Ukraine in flour, cereals and animal feed.
The Minister of Agriculture said that it "will improve
the efficiency of the company and continue effective cooperation with Chinese
partners”, because, as we all know, state owned organisations are renowned
for their supper efficiency.
In 2012 Corporation raised a government-secured loan of USD 1.5bn
from the Export-Import Bank of China for a 15 year grain export project under
trade agreements with China which probably has more to do with the Corporation dodging privatisation than anything to do with efficiency.