IBCLUB

IBclub (hereinafter referred to as the Club) is the international professional association of companies that are actively involved in international trade and are committed to its further development.

 

1. Mission

  • to develop international trade relations between companies from Ukraine and CIS countries, and their foreign partners in cooperation with foreign financing and insurance organizations, government institutions and non-governmental organizations;
  • to create positive image of Ukrainian companies abroad;
  • to create new opportunities for Ukrainian businesses abroad, including promotion of Ukrainian goods and services.

2. Members of the Club

The Members of the Club are the clients and partners of IBcontacts company, which are actively involved in operations on international capital market and are promoting the development of the market. In particular, Ukrainian and foreign trade and industrial companies, investors, funds, foreign financing banks, export credit agencies.

The Club is closely cooperating with the trade missions of the Embassies, state executive and legislative bodies, Kyiv and regional chambers of commerce, non-profit organizations, educational institutions and other organizations.

3. Membership Benefits:

The Club provides the following opportunities for its Members:

  • to directly influence the processes related to the development of international trade;
  • to quickly and efficiently implement  their projects in cooperation with other Members of the Club;
  • to communicate directly with and to obtain first-hand information from  representatives of the world’s leading export credit agencies and financing banks;
  • to get special rates on all events organized by IBcontacts company, including international seminars featuring world’s leading ECAs, round tables etc.;
  • to spread information about IBclub activities, its Members and projects in IBobserver newspaper  - the only periodical and unique professional platform in Ukraine and CIS countries on the development of international trade relations – and other business media;
  • to get special rates on advertising and information placement in IBobserver;
  • to enjoy offhand communication and networking in the professional circle of the Club Members.

4. Structure

There are  working and project groups functioning within the Club.

Working Group is a permanent group where the Club Members are united around certain topics, markets or activities. The group was created in order to promptly resolve conflicting legislative issues and allow the Members to exchange information and experience on import activities, production, attracting international financing and obtaining trade credit.

Project Group is an ad hoc group that brings together the Members of the Club in order to achieve the objectives within a specific international project.

At present, there exist the following working groups within the Club:

 

  • InvestRing
    is a group that brings together top managers and companies’ owners, investors, politicians, banks, funds and financial companies representatives on one side and project owners that want to develop their business by attracting international financing on the other side. Creation of the investment group was stipulated by an uprising trend in mergers and acquisitions (M&A) activity both in Ukraine and abroad. In addition, attracting investor is often a necessary condition for implementation of structured orproject financing.
  • FishRing
    is a group that brings together Ukrainian importing and foreign exporting fish and seafood companies, with the participation of foreign export credit agencies. Nowadays 60% of total fish and seafood consumption in Ukraine is provided by imports. At the same time, Ukrainian market is far from the saturation point: the average fish consumption in recent years remains below the recommended level. Since domestic production is insignificant due to the low level of technological equipment of fishermen and the availability of fishing quotas in the inland waters, there is considerable potential for increasing the volume of imports. One of the obstacles in this regard is the recent changes in state regulation of industry (customs regulations, veterinary and sanitary control, the certification rules for fish products).

     

    At the Club events, Ukrainian importing companies have the chance to discuss current market problems, develop recommendations for solutions, and learn from the first hands about the ways of financing the import of fish and seafood under the guarantees of ECAs.

  • AgroRing
    is a group that brings together companies working in agriculture. Ukrainian agricultural sector is attractive for investment. Despite existing problems, like low modernization rates, time-to-time limitations in foreign trade, and complicated access to financial resources, Ukraine remains net exporter of food. Significant volumes of grain crops and oil-plants export allow Ukraine to keep its position among TOP-5 world suppliers of these goods. Expansion of vegetable processing capacities and demand revival for Ukrainian vegetables in other countries make Ukrainian vegetable growing attractive for investment. In general, in spite of high risks, Ukrainian agrosector has significant potential for development and profitability increase. Capital investment in production capacities modernization and infrastructure development would help to reduce risks to acceptable levels.

     

    The Club member have an opportunity to find out the ways of foreign trade financing attraction for agricultural projects realization directly from world leading experts in this field.

  • EnergyRing
    is a group that brings together companies from energy sector and companies dealing with alternative energy and energy saving projects. The development of alternative energy sources and energy efficiency technologies is one of the most topical issues in Ukraine. Since energy consumption level in Ukraine is several times higher than in Europe, and electricity prices are constantly growing, investments in energy saving technologies can be quite attractive. High cost of borrowing in domestic capital market increases the pay-back period and decreases the investment attractiveness of alternative energy projects in Ukraine. Attracting foreign financing under export credit agencies (ECAs) coverage might be a solution that allows implementing projects more quickly and on more favourable terms.

     

    At the Club events, companies may discuss the ways of financing projects with foreign ECAs, foreign financing banks, as well as exchange their experiences in implementing alternative energy and energy efficiency projects in Ukraine.

  • AutoRing
    is a group that brings together companies working in automotive industry. Ukrainian automobile industry proved its competitiveness in international market, selling products abroad (Bogdan Corporation, AvtoKrAZ Holding), as well as setting joint production with European partners in Ukraine (Lviv automobile plant). After the production volumes decline in 2009 and market stabilization in 2010, in 2011 the industry continued to recover. In the 1st half of 2011, the production growth rate constituted 39% (UAH 5.35 billion). Due to credit market and demand revival, automobile industry in Ukraine is considered one of the most attractive industries for investment in 2011-2012. In addition, the government is going to stimulate the investments to Ukrainian automobile construction: it is planned to decrease the investment threshold for which the tax allowances are provided.

     

    During the IBсlub sessions the participants will have an opportunity to discuss industry development perspectives, to establish new business contacts with foreign partners, financing banks and export credit agencies.

  • GermanRing
    brings together companies willing to develop trade relations with Germany. Despite the overall decline in operations between Germany and Ukraine in 2009, Germany remains one of the major Ukrainian trading partners. It is the second largest exporter to and investor in Ukrainian market. In addition to the imports of hi-tech equipment for energy saving, agricultural machinery, and construction equipment, German companies often work on a take-back basis with Ukrainian companies, creating thousands of jobs in Ukraine. German financial institutions readily provide financing and insurance for the trading operations between Germany and Ukraine, thus facilitating trade between the countries. Several obstacles, however, undermine the development of Ukrainian-German business relations. Discrepancies between Ukrainian and international standardization systems limit the Ukrainian export to the EU. Delivery delays, caused by customs bureaucracy and uncertainty in VAT repayments, decrease credit rating of Ukrainian enterprises.

     

    At the sessions of IBclub, Ukrainian companies engaged in international trade can discuss the perspectives of business partnership with German enterprises and financial institutions, as well as coordinate efforts put to remove the obstacles for business relations development between Ukraine and Germany

  • TaxRing
    was created in order to discuss current tax regime problems in Ukraine, as well as develop possible solutions. Ukraine’s economic growth depends on the country’s attractiveness to foreign and domestic investors. One of the most important issues for investors is transparent and sound country’s tax regime. On January 1, 2011 the new Tax Code came into effect in Ukraine, introducing a number of important innovations aimed at easing tax burden and simplifying tax procedures. By the new Code, the number of domestic taxes was reduced from 29 to 17, corporate income tax will be gradually reduced from the current 25% to 16% and VAT from 20% to 17% in 2014. According to the new Code, automatic VAT refunds will be introduced and tax burden on light industry, shipbuilding, aircraft construction, and hotel businesses will be decreased for the next 10 years. The full impact of the new rules on the investments will be understood only after all the amendments come into force and are tested in practice. The members of the Club and visitors to the events will be able to share their opinion on and discuss the effects of the innovations.

 

5. Activities

  • Monthly meetings of the Members in working and project groups, round tables, press-conferences on the development of international capital market. The experts of the Member companies, foreign financing banks and export credit agencies may act as speakers.
  • Training seminars for the Members devoted to attracting international financing and other aspects of interest.
  • Prompt informing of the Members on the results of working and project groups activities, press conferences as well as the most important news on attracting international financing, investment and credit management.
  • Implementation of joint projects by means of effective cooperation between the Members of the Club.

6. Code of Conduct

Members of the Club, in achieving their goals and conducting business, are obliged to abide by the following principles:

  • to comply with the legislative regulations;
  • to foster fair and transparent competition;
  • to fight corruption;
  • to adopt   international best practices;
  • to observe intellectual property rights of the Club Members and those of the third parties;
  • to comply with the obligations to contractors, including foreign financial and insurance organizations;
  • to respect the rights of their employees;
  • to apply the rules and standards on environmental protection;
  • to encourage the application of these principles by their partners.

The relationship between the Members of the Club are based on the following principles:

  • development of a constructive and fruitful dialogue;
  • exchange of experience and information on international capital markets;
  • honest and open collaboration.

These principles are not legal obligations. Violation thereof may cause expulsion.