Privatization of alcohol assets - 5 auctions were announced at once

The State Property Fund has announced 5 privatization online auctions of alcohol assets, which will take place from February 25 to March 4.The total starting price of all announced auctions is over UAH 140 million.

The list includes the objects of SOE “Ukrspyrt”:

  • Vuzlove(Lviv region) –auction on February 25. Starting price – UAH 21,708,351.18;
  • Marylivka (Ternopil region) –auction on February 28. Starting price – UAH52,100,868.74;
  • Strutyn(Lviv region) –auction on March 1. Starting price – UAH 31,338,684.70;
  • Chervona Sloboda(Kyivregion) –auction on March 2. Starting price –UAH 9,776,602.60;
  • Stadnytsya (Kyivregion) –auction on March 4. Starting price–UAH 26,393,749.40.

The privatization of alcohol assets started in 2020 and is part of the demonopolization of the alcohol market. Until recently, only Ukraine and Belarus were countries that had a state monopoly on alcohol production.The result was a total shadowing of the industry, which led to 55% of the shadow share of alcohol turnover in 2019, and the cost of taxpayers' funds for the maintenance of non-operating plants.

Since the beginning of 2020, the State Property Fund has held 26 successful auctions for the privatization of alcohol assets worth over UAH 1.4 billion.

Thanks to privatization, Ukraine has dealt a severe blow to the shadow production of alcohol and finally lost its monopoly.