Kirovograd Region is situated in the centre of Ukraine, in the interfluve between the Dnieper and South Buh rivers. It confidently became on the way of dynamic economic and social development. The regional industrial complex, where 292 enterprises operate, comprises 10 leading industries.
The region is represented by production of sowing, soil cultivation and harvesting machines, bridge electric cranes, mining briquettes, nickel, graphite, mountain beeswax, sewing wares, and also wide range of products of food industry as sausages and smoked delicacies, groats flakes and muesli, sunflower oil, alcoholic products and others on the commodity market of Ukraine.
The extractive industry of the region is represented by the State Holding Company "Oleksandriyavugillya" (extraction and processing of brown coal is the main type of its activity) and two unique complexes on extraction and production of nickel and graphite: these are the Liability Limited Company "Pobuzke Ferronickel Plant", Joint-Stock Company "Zavallivsk Graphite Integrated Works" and branch of the National Center for Atomic Energy Development.
In the structure of processing industry with the share of 69% in the general production volumes, the share of machine-building industry makes 22.1% as well as food industry – 33.9% and construction materials industry – 5.3%.
The Kirovohrad Regional State Administration puts great efforts to rise a regional role as powerful center of agricultural machine-building industry at the head with the leader – the JSC "Chervona Zirka" . This is a one of the oldest enterprises of Ukraine, which is specialized on production of different types of sowing machines such as grain, maize, vegetable, cultivators and stack rackers, loaders and its spare parts. The enterprise produces consumer goods also.
The Concern "Lan", which incorporates scientific and production potentials of the region, extends its activity wider. It has mastered the production of combine harvesters. The Oleksandriya Joint-Stock Company "Plant "Avtoshtamp" manufactures grain reaping-machines.
The JSC "Hydrosila" has the modern highly productive equipment for production of gear pumps and axial piston motors and co-operates with the scientific and technical institutes of Ukraine and countries of CIS. Today the products of the enterprise are exploited in composition of different machines in more than 50 countries of the world.
The magnetic starters and electronic boards of the Oleksandriya JSC "SPA" Etal» has recommended itself at industrial enterprises of countries of CIS as well as lifting cranes of the JSC "Vira-Service" and other products of enterprises of the regional machine-building complex.
The metallurgical industry is good represented by the unique enterprise – the Svitlovodsk Government-Run Integrated Works of Hard Alloys and Refractory Metals as well as the chemical industry by the JSC "Chysti Metaly", which is specialized on production of semiconductor materials. They supply home products to the countries of the CIS and foreign countries. The food industry is the highly developed sphere in the region and the meat, oil and fat, milk and grain processing industries prevail in its structure. The Joint-Stock Company "Kirovohrad Poultry Processing Plant" is the leader among the enterprises of meat processing industry of Ukraine providing more than 150 names of products. This is the enterprise with progressive technology of production of sausages and smoked delicacies, which are in great consumer demand in many regions of Ukraine.
The Subsidiary Company "Novoukrayinskiy Bread-Backing Plant" of the SJSC "Khlib of Ukraine" is the unique Ukrainian enterprise, which produces dry breakfasts, flakes and muesli. The products of the enterprise are known and loved not only in Ukraine but also beyond its boundaries.
The economy of Kirovohrad Region gets more social orientation and the production of commodities of public consumption grows by passing ahead rates. In the structure of commodities of public consumption, produced by the regional enterprises, the food stuffs make 77.5% as well as non food – 16.9%; wine and alcoholic products – 5.6%. The food industry of the region provides the demands of population with such basic food stuffs as sugar, flour, groats, macaroni and confectionary, bread and backing products, butter, products of dairy and meat industry. In the structure of production of non food stuffs the light industry covers 33.8%. The enterprises of the region produce sewing and stocking-socks wares, soft and corps furniture, complex household appliances, gardening inventory, medical wares, china and glass crockery, chemical detergents and others.
The steppe Kirovohrad Region is the large manufacturer of agricultural production and food stuffs. The region produces 4.3% of agricultural gross production, including 5.3% of plant-growing products, provides about 10% of the general sunflower production in the country, almost 7% of food and feed-stuff corn, more than 5% of sugar beets, 3% of meat and dairy products. The production of rape, soy and other untraditional crops is mastered.
The basis of the regional stock-raising is breeding of cattle, pigs, sheep and poultry. There are two stud farms and 5 pedigree farms in the region, which produce the horse of thoroughbred saddle and Ukrainian saddle breeds.
The small business of the region is dynamically developed and gets the large value. The share of small enterprises in total number of the regional enterprises makes 83.7% as well as in the volume of the finished products and executed works and services – 13.6%, in the volume of sold products – 14.3%, number of workers – 20.5%, in the volume of gross investments in the fixed capital – 18.2%. About 41 thousand small business entities function in the region. The support of the regional small business is carried out in accordance with the measures foreseen by the Regional Programme of Small Business Development for 2003-2004.
With the purpose of creation of favourable conditions for development of entrepreneurial activity in the region the network of Centers for Business Development Support has been created. There are the first results of it activity – the skilled organizational and legal assistance is granted to the businessmen; the system of financial support has been formed; the thematic seminars, conferences and meetings are conducted; firstly in almost all cities and districts the budgetary funds for business support were allocated.
Kirovohrad Region has positive changes in investment-construction activity. The volume of investments in the fixed capital made 184,4 million hryvna for January-June, 2003 and grew in comparison with the first half-year of the last year by 29.5%. It is important that almost 50% of the general volume of investments is directed on updating and modernization of active part of production funds. The region became the more attractive for foreign investors too. From the beginning of the year the general volume of direct foreign investments in regional development made USD 43.8 million and that is by more than 8.1% higher as of July 1, 2002.
The foreign trade turnover of commodities makes USD 61.4 million that is by more than 34.4% higher than for the first half-year of the previous year. The region substantially increased the export potential. The commodities are exported to 48 countries of the world. The majority of commodities is exported to the Russian Federation (46%). The mechanical and electric equipment (40.8% of the general volume), products of vegetable origin (9.4%), living animals and products of stock-raising (10.9%) prevail in the commodity structure of export. Kirovohrad Region has the powerful scientific and technical potential. The developments on major directions of scientific and technical progress are conducted in 17 establishments and organizations. Among them there are the Kirovohrad State Technical University, Kirovohrad State Pedagogical University named after Volodymyr Vynnychenko and Kirovohrad State Agricultural Experimental Station.
The Kirovohrad Regional State Administration studies strategic purposes and tasks in spheres of material production not as an end in itself, but as effective mean of rising a standard of living of population, overcoming of poverty and creation of economic pre-conditions for solution of sharp social problems. The inhabitants of Kirovohrad Region confidently look forward. The central region of Ukraine is to become the most attractive investment region of our country for the medium-term period. There are about 30 kinds of mineral resources in the regional deposits; its extraction and processing promise to give a high income. The economic calculations show that the powerful potential of Kirovohrad black earths creates advantageous pre-conditions for development of present food industry.
Kirovohrad Region, taking into account motion of Ukraine into the European Community, has all chances to become one of the main suppliers of high-quality and mainly ecologically friendly products of feed on the foreign market. The skilled specialists and industrial potential, favourable geographical location are to bring our Ukrainian steppe pearl to the number of the most perspective regions of Ukraine.