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The consequences of Ukraine's accession to the WTO for the domestic market.

The consequences of Ukraine's accession to the WTO for the domestic market. « INSAM ». Student : Evgeniya Litvin IE-09 Scientific supervisor : Serhii V.Kuzminov D. Sc. (Economics) Language consultant - Cand . Sc. (Pedagogy), Associate Professor Miasoid G.I. OUTLINE.

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The consequences of Ukraine's accession to the WTO for the domestic market.

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  1. The consequences of Ukraine's accession to the WTO for the domestic market. «INSAM» Student: EvgeniyaLitvin IE-09 Scientificsupervisor:SerhiiV.Kuzminov D. Sc. (Economics) • Language consultant - Cand. Sc. (Pedagogy), Associate Professor Miasoid G.I.

  2. OUTLINE • The WTO and its cooperation with Ukraine; • Assess of the "INSAM" status and prospects of company development and metallurgical sector ; • Ways of «INSAM» activity improvement.

  3. The objective of the research : to analyze the consequences of Ukraine's accession to the WTO for the national market Research tasks: - to describe the features of the WTO and its cooperation with Ukraine; - to make a general characteristic of the enterprise; - to evaluate the economic efficiency of the project. The research object:the LLC. "INSAM" . Subject of research: is the `INSAM` nowadays changes and export development

  4. The WTO and its cooperation with Ukraine • WTO - an international organization that regulates trade among nations; • World Trade Organization began its activity in 1995; • On 16 May 2008 UkrainebecametheWTO`s152 member; Consequences Negative Positive • export growth • revival of production in industries • best conditions for the protection of Ukrainian producers • domestic enterprises became the part • of international trade • expand the range and quality of products and services with lower prices; • implementation of WTO rules on standardization and certification • Ukraine also should reduce tariff and non-tariff barrier • increase the dependence of the national economy from the global economy

  5. ‘INSAM’ • Factoryof producinghigh-techaluminumcompositepanels; • Operates in the market of metal products since 2005 year; • Occupies 25% of ACP in Ukraine • In 2007-2009 had a stateofcrisis; • Since 2007,working capital started to increase and till the 2012 company reached financial stability

  6. Industrial production indexes by activity in 2014

  7. WAYS OF "INSAM" ACTIVITY IMPROVEMENT • Strategy for improvement of the LLC “INSAM” - expand markets and increase turnover through the development of the export market for Russia (Rostov and Belgorod region) Why Russia? • Territorial proximity • Similarity of production standards • Large market

  8. NPV= Economic efficiency of the project • NPV= 1369516 $ where, NCFi - net cash flow for the i-th period; INV – initial Investments; r – discounting rate. So (NPV> 0) is satisfied

  9. Price per m2 • Russia Ukraine ~26 $ 36 $ Despite the fact that the Ukrainian ACP have a quality advantage, Russia produces more than 40% of Russian ACP, and the price is about the same as that on the territory of Ukraine.

  10. Thank you for attention!

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