Ukraine

Business

Journal

10:29 AM Tuesday, July 17, 2018
Industry
US Factory Near Boryspil Exports to Europe, Africa
P & G’s $100 million investment builds export platform; zero waste system cuts power bill and eliminates garbage
image/svg+xml Kyiv Lutsk Rivne Zhytomyr Lviv Ternopil Khmelnytskyi Uzhgorod Chernivtsi Vinnytsia Chernigiv Sumy Kharkiv Poltava Cherkasy Kirovohrad Lugansk Dnipropetrovsk Donetsk Zaporizhzhia Mykolaiv Odesa Kherson Simferopol Sevastopol Ivano- Frankivsk

KYIV - Showing that multinationals can use Ukraine as a production platform for worldwide exports, Procter & Gamble now exports 80 percent of production from its new $100 million factory near Boryspil airport.

Despite Ukraine’s ups and downs, the American company steadily invested in the factory, making it today the company’s fourth largest plant for feminine hygiene products. Once a plant oriented to the domestic market, the factory now is an integral part of P & G’s international supplying chain, selling to 30 countries ranging from Germany to Tanzania.

From Boryspil to Uganda: P & G's Tambrands plant is integrated into the multinational's supply chain (supplied)

Each month, production lines of the plant make over 600 thousand boxes of products of five brands: Discreet, Naturella, Always, Orkid and Evax.

“Currently, women in more than 30 countries choose products of our plant – from Poland, Germany, Great Britain, France to Tanzania and Uganda,” said Julia Semenchenko, director of the plant, which is 10 kilometers northeast of Kyiv Boryspil International Airport.

Semenchenko and other P & G officials spoke at a ceremony marking 20 years of the company’s ownership of plant and the company’s 24 years in Ukraine.

Dmytro Kyselyov, CEO of P&G Ukraine, calculates that the Cincinatti, Ohio-based company has invested $300 million in Ukraine during its 24 years years here. P&G says it has created about 5,000 jobs in Ukraine, largely at the massive plant in Boryspil, but also at another Ukraine factory and its main office here, at Naberezheno-Kreschatyska 5, in Podol.

Zero Waste Saves Money

Investment went into production lines, modern information technologies, and an international standard quality control system.

With Ukraine struggling to cope with mounting solid waste, the P & G factory in Borsypil stands out for implementing a zero waste production system. The plant saves money by reusing wooden pallets and generates income from the sale of other types of waste.

By recycling 300 metric tons of paper and cardboard, the plant saves more than 5,000 trees annually. Recycling 2,040 metric tons of shredded waste provides energy to heat 2,000 dwellings of about 100 square meters.

P & G plans to extend this system to all company plants in Ukraine by 2020.

“We do not take out garbage to the city dump,” said Semenchenko, the plant director. “Switching to zero waste production is our main investment in a better future for Boryspil and Ukraine.”


For story tips and comments, please email UBJ Kyiv Correspondent Vitalii Dubenskyi at vitalii.dubenskyi@theubj.com

Photo: P & G Ukraine officials mark $100 million invested over 20 years in modernizing a feminine hygiene products plants the company bought in 1997. (supplied)

We recommend
Much of the Ukrainian economy's recovery is being...
UBJ Editor Jul 17, 2018
When a partially state-owned Chinese company attem...
UBJ Editor Jun 17, 2018
In a further boost for Ukraine's perception to pro...
UBJ Editor May 17, 2018
--> --> -->