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Donetsk Region Overview

Donetsk Oblast is an oblast of eastern Ukraine. Its capital is Donetsk. Historically, the province is an important part of the Donbas region.

The oblast's area of 26,500 km² is equivalent to 4.4% of the territory of Ukraine. Its population (as of 2004) is 4.7 million constitutes 10% of the overall Ukrainian population, making it the most populous and most densely populated region of the country. Its large population is due to the presence of several big industrial cities and numerous villages agglomerated around them (see urbanization).

A referendum which was to be held on 2005-01-09 to determine whether this oblast shall be granted the status of an autonomous republic inside Ukraine was cancelled after the rerun of the 2004 presidential elections.

Important cities include:

  • Horlivka
  • Kramatorsk
  • Makiivka
  • Mariupol
  • Yenakiieve

Donetsk

Donetsk is a city in eastern Ukraine on the Kalmius river. Administratively, it is a center of Donetsk Oblast, while historically it is the unofficial capital and largest city of the Donets Basin region, or Donbass. The city's name is often simplified to Donetsk.

Contemporary Donetsk

The city has 970,000 inhabitants (2004); the metropolitan area has 1,566,000 inhabitants (2004). It is the fourth-largest city in Ukraine. Donetsk and the surrounding territories are heavily urbanized and agglomerated into conurbation. The workforce is heavily involved with heavy industry, especially coal mining, but the city is very green and lightly-polluted for being a major industrial city. Donetsk has one of the highest standards of living in the region.

The metro construction beneath Donetsk is underway, but no station is yet operational. Donetsk lies 95 km north of the Sea of Azov, a popular vacation spot for the city's inhabitants. The city's football teams are FC Shakhtar Donetsk, owned by Rinat Akhmetov, and FC Metalurg Donetsk.

History

Donetsk was founded in 1869 when the Welsh businessman John Hughes built a metallurgical plant and several coal mines near a Cossack settlement Alexandrovka. The town initially was given the name Yuzovka ("Yuz" being a phonetic rendering of Hughes). By the beginning of the 20th century Yuzovka had approximately 50,000 inhabitants, and attained the status of a city in 1917. In 1924 it was renamed to Stalino (after Joseph Stalin). The Nazis' invasion during World War II almost completely destroyed the city, which was mostly rebuilt on a large scale at the war's end. After Nikita Khrushchev's denunciation of Stalin in 1956, the name Stalino lost popularity, and in 1961 the city's name was changed to Donetsk, after the Donets river, a tributary of the Don.

Ethnopolitics

While the majority of people in central and western Ukraine speak Ukrainian, many residents of Donetsk and the surrounding region are Russian-speaking Ukrainians and Russian immigrants; the Russian language is dominant in eastern Ukraine. Residents of this region tend to be more pro-Russian in political leanings. During the 2004 Ukrainian presidential election, the citizens of Donetsk supported Viktor Yanukovych instead of his rival Viktor Yushchenko.


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For investors: new entry
Novokahovskyi Lime-Sand Brick Plant

Purposes of company: Investments
Company description:

Market Overview:  Construction volume is increasing 20-25% annually, creating an increased demand for high quality façade bricks. The industrial capacity of façade bricks is estimated at 200 million bricks per year. In 2006, a construction boom is expected in southern Ukraine, where the plant is located. The product is used mainly by construction companies and private companies.

Project Overview:

  • Using KSE-400 (Germany)
  • Equipment supplier offers trainings for the buyer’s staff
  • Can produce 30 million bricks per year including high quality hollow façade bricks, ordinary bricks, molded bricks, white and colored bricks

Competitive Advantages:

  • Production of lime-sand bricks is considerably more energy efficient than the production of ceramic bricks. Moreover, the project envisions the reconstruction of one of the two pit-type 50-ton lime-burning kilns; using coal, automatic blending, loading, and burning will save on gas
  • Plant produces its own lime; a sand-pit is located close to the plant
  • No high quality lime-sand hollow bricks are produced in southern Ukraine
  • Due to the considerable decrease in the weight of the bricks, delivery and transportation becomes much easier; bricks can be transported by auto, railway (via the plant’s rail track), or by water (a river port is 8 km away)
    Investment Project Progress:  Market research has been conducted

Key Financials:

  • Total Investment - € 1.5 mln
  • Investment Needed - € 1.5 mln
  • Payoff period - 5 years

Branch: Construction materials
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Purposes of company: Investments
Company description:   
Branch: Construction materials
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For Buyers: new entry
Lana Private Manufacturing-Commercial Firm

Purposes of company: Export
Company description:

Lana produces a wide variety of wood furnishings for the discerning customer. Lana specializes in high-quality, premium home furnishings created from solid wood, including: furniture, entry and interior doors, parquet, furniture façades, interior decorations, and staircases. Buyers can choose from distinctive creations of Lana’s innovative design team or provide their own designs. No matter how intricate the design, Lana’s highly-trained specialists will surpass their customers’ expectations.

Lana’s experienced team tightly controls the manufacturing process from start to finish, from selection and processing of only the finest lumber to careful inspection and meticulous hand-finishing of each item produced.
 
Lana is a family-owned business. This company has been successful in Ukraine and the countries of the former Soviet Union for over 15 years. The key to Lana’s success is dedication to traditional business values: excellent customer service, high-quality craftsmanship, and consistently delivering on commitments.
 
Lana creates unique and interesting designs. The company has flexible production and can make adjustments quickly to fill new orders. Lana’s marketing service has qualified specialists with good customer service skills.

The company employs highly qualified specialists to create handmade products with unique designs. The company has mastered a full woodworking cycle, from lumber to the finished product. The company has developed its own methods for drying and sawing wood. Valuable and rare types of wood are used.


Branch: Furniture
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Aliot, Ltd.

Purposes of company: Export
Company description:

Aliot, Ltd has been active in the Ukrainian furniture market since 1999. Aliot is a professional manufacturer of interior furniture for offices and homes. The distinguishing feature of this company’s production is a harmonious combination of functionality and aesthetics together with reasonable prices.

Aliot’s specialists work with European equipment that enables them to produce high-quality modern furniture. The aim of the company is to perfect and develop the furniture industry in order to satisfy the growing requirements of their customers and partners.

A combination of competent marketing policies and a team of professionals with a high level of technical training and practical skills ensure the constant development of the Aliot company.


Branch: Furniture
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