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The continuous operation of Kyiv Cardboard and Paper Mill amid the war is an example of an effective Ukrainian-Austrian partnership in business and humanitarian sphere.

Ukraine and Austria are enhancing their economic and humanitarian cooperation: according to Austrian Foreign Minister Alexander Schallenberg, last year Vienna allocated €153.5 million to the European Peace Fund (EPF). In addition, the Austrian authorities provided more than €206 million in humanitarian aid to Ukrainians. It`s not just about finances: after the tragedy at Okhmatdyt hospital, the Alpine country hosted a group of young patients for treatment.

Ukraine and Austria strengthen economic and humanitarian cooperation

The cooperation between the two countries is not limited to government initiatives: in the business sector, Austria is one of Ukraine`s largest and most reliable European partners. Around 200 companies with Austrian capital have been directly affected by the war, but their owners continue to invest in the development of domestic industry.

Despite the high country risks, Austrians are not closing down their business projects in Ukraine

According to Dr. Heinz Zinner, CEO of Pulp Mill Holding (owner of the Kyiv Cardboard and Paper Mill, which facilities are located in Obukhivskyi district), representatives of big business from Europe are willing to cooperate with Ukrainian companies even amid the military and economic upheaval.

“Of course, in times of turbulence, entrepreneurs are less inclined to make risky investments. However, Ukraine has significant economic potential. And Western investors are interested in strengthening their partnership during Ukraine`s economic recovery,” emphasised Zinner.

Austrian reliability and Ukrainian resilience: the formula for success at KCPM

The company emphasises that the constant support and trust of the Austrian owners is crucial for the business, as Kyiv Cardboard and Paper Mill is a capital-intensive full-cycle enterprise with a multi-stage production structure. Access to foreign financing markets is limited amid the war. Therefore, to ensure a high level of production, the company has to rely only on its own resources.

“Before the full-scale invasion, Kyiv Cardboard and Paper Mill actively cooperated with both domestic and international financial institutions. After 24 February 2022, the opportunities to invest in the development and modernisation of the enterprise decreased. However, the European owner decided to continue the investment programme, which is already showing results,” said Iurii Golovchenko, CEO of KCPM.

Investments in the upgrade of the mills` equipment allow the company not only to maintain a high level of quality and keep up production, but also to increase its tax capacity and implement charitable initiatives

Not just profits: thanks to investments from Austria, the company fulfils its social obligations in full

Investments in the upgrade of KCPM`s equipment allow the company not only to maintain high quality standards and keep up production, but also to increase its tax compliance and implement charitable initiatives. Last year, the manufacturer paid more than UAH 1.5 billion in mandatory payments to the budget, and allocated about UAH 100 million for charity.

“Be strong and help those in need”

This is the motto under which KCPM and its Austrian shareholders work tirelessly to restore our economy. The example of the mill`s owner confirms that European partners are still interested in cooperation with Ukraine. Therefore, we hope that the Ukrainian authorities will also support joint business initiatives.

“Support Ukrainian, produce Ukrainian, buy Ukrainian” is the motto under which the Cabinet of Ministers launched “Made in Ukraine” project in spring this year, aimed at encouraging domestic business despite the war. The trademark is used to label goods of industrial enterprises located in the country. These include Kyiv Cardboard and Paper Mill, which has its production facilities in Obukhivskyi district.

Based on the material of gazeta.ua

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