February 20 2003, 15:24 Interfax-Ukraine

Government's department suggests retrofitting unprofitable Ukraine's alcohol plants to produce ethanol

State Food Department of Ukraine suggests retrofitting unprofitable alcohol producing plants into production of ethanol instead of closing them down, Head of the Department Yuri Zhykharev told journalists following a sitting of the Department's Collegium on Wednesday.

Director General of the state owned concern "Ukrspirt" Ivan Zholner told the Collegium that specialists of the concern were currently investigating into consumption of high-octane additives to petroleum products, to determine the volumes of needed output and to prepare the plants to re-construction.

Besides, he said, there were suggestions to export the alcohol-based high-octane additives, particularly - to Poland and Hungary.

As we earlier reported, Ukraine's Agriculture Ministry had commissioned the State Food Department to prepare the list of inefficient alcohol producing plants of the country to be closed down.

There are 84 state-owned alcohol producing plants in Ukraine with total annual capacity of 66 million dekalitres of spirit.

In 2002 production of spirit in Ukraine was 28.399 million dekalitres - 7.5 percent up from that of 2001.