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УКEN
LUTSKINVESTMENT The city of development
Торгівля, споживчий ринок та сфера послуг

The city has a developed network of trade establishments and consumer service enterprises. Currently, 611 trade and public catering enterprises operate. The network of trade establishments includes 178 food stores, 177 non-food stores, 9 department stores, and 256 public catering establishments.

Per one thousand city residents, there are 1.28 public catering enterprises, 0.89 food stores, and 0.88 stores selling non-food goods.

Trade and public catering enterprises of the city are working to improve the quality of service, namely: they are updating their material and technical base with more modern equipment, reconstructing and repairing premises, and introducing modern forms of retail trade organization, specifically the sale of goods using the self-service method. Thus, during the reporting period, stores 'Foxtrot', 'DID', 'Image', 'Salyut', 2 'Vopak' stores, 2 'Kolibri' supermarkets, 'Pelican', 'Eldorado', 'Mebli', and the 'Globus' shopping center were opened in renovated premises.

The trend of transforming trade into a high-tech mechanism for distributing food and industrial goods to the end consumer is strengthening. Supermarkets are emerging as an instrument of civilized trade. Thus, at present, nine supermarkets operate in the city, and work is underway to open two more. At 11 trade enterprises, 63 units of barcode technology equipment have been installed. Consumer confidence in this type of trade enterprise is growing, where one can not only purchase quality certified goods at relatively low prices, but also receive moral satisfaction by using modern trade services. Today, supermarkets are becoming serious competitors to markets.

Currently, 21 markets operate in the city, where agricultural products, food and non-food goods are traded.

The number of places equipped for trade is 6,575. In total, more than 8 thousand people are employed at the city's markets.

There are no markets owned by the city municipality; their owners are legal entities and individuals, organizations and consumer cooperatives. However, guided by the Law of Ukraine 'On Local Self-Government in Ukraine', the city authorities pay great attention to the development of existing markets (their reconstruction, re-equipment, etc.) and the creation of new ones. In order to improve the quality of trade services for the population, the city's markets are gradually turning into modern shopping complexes. This is, for example, the 'Pasazh' shopping complex (Dominanta company). At the 'Novyi' market, canopies over the passages between trade rows have been installed, designed in a modern style and using modern roofing materials. The private firm 'Skorpion-Service' has arranged a number of kiosk-shops that serve as a kind of fence for the 'Tsentralnyi' and 'Zavokzalnyi' markets. At the 'Tsentralnyi' market, a new pavilion for trading sausage products has been put into operation, equipped with modern refrigeration equipment and meeting all requirements for trading in markets. The reconstruction of the pavilion (where sausage products were previously sold) has been completed, and trading places with special equipment for selling dairy products have been put into operation.

After reconstruction, a pavilion for trading fish and fish products was opened, equipped with modern trade-technological and refrigeration equipment and inventory.

It should be noted that the first stage of market formation, when people gathered and sold products on unequipped sites, has passed. Today, the creation of full-fledged, comfortable conditions for both sellers and buyers is relevant.

For example, the current state of the trade rows on Hrushevskyi Avenue (owner: JSC 'Zlahoda') can no longer satisfy either entrepreneurs or consumers (as the 'Yuvileinyi' market once did). Currently, work is underway on the reconstruction and re-equipment of the 'Pryviz' market.

Relevant work is being carried out in reconstruction without reducing jobs. In particular, regarding the phased reconstruction of the Zavokzalnyi and Tsentralnyi markets.

The network of public catering establishments in the city continues to expand. New restaurants, cafes, and bars are opening with a high level of material and technical equipment, a wide range of dishes and drinks, and high-quality service. Thus, during the reporting period, the 'Atlant' and 'Texas' bars and 2 cafes, 'Felichita' and 'Halka', received their first visitors.

The city has retained a school catering combine that serves 22 schools. The department constantly monitors the provision of hot meals to pupils and students of general education schools, secondary specialized and higher educational institutions of the city. It is planned to provide meals for pupils and students in canteens using subscription coupons.

The city's household service sector is created by a whole network of household establishments that provide the city's population with a wide range of essential household services.

The network of household service enterprises has been supplemented by newly introduced hairdressing salons that are distinguished by modern design and equipment ('Scarlett', 'Sophie', 'LAKKI' hairdressing salons). In hairdressing salons and beauty salons, new preparations, the latest technologies, and special tools are widely used.

Thanks to his skill, master stylist and hairdresser of the 'Fryzur' salon, V. Kordunov, was the first among Volyn residents to take part in an international competition in Kyiv and entered the top ten best.

In order to create a nationwide children's holiday in the last days of the summer holidays and in accordance with the city mayor's order No. 330-rv dated 13.08.03 'On granting benefits to the city's children', 577 children of the city received discounted household services.

15 hairdressing salons and 2 bathhouses provided benefits during the year to low-income segments of the population, participants in the Great Patriotic War and citizens equated to this category (city mayor's order No. 27-rv dated 21.01.03).

From 12 November 2003, benefits to war veterans and persons covered by the Law 'On the Status of War Veterans and Guarantees of Their Social Protection' No. 3551-XII dated 22.10.93 in the amount of 20% of the cost of services will be provided by 22 hairdressing salons in the city.

Benefits to the same categories of citizens, as well as to pensioners and disabled persons, in the amount of 50% of the cost of services will be provided by two bathhouses in the city (city mayor's order No. 3637-rr dated 12.11.03).

The issue of social protection for low-income segments of the population is important. Since the beginning of 2002, the "Veteran" store has been transferred to the trading company "USI". Today, the store offers a wide range of food and non-food products at relatively low prices, and for privileged categories of the population, the sale of goods with a 5 percent discount has been organized.

In order to improve services for patients with diabetes mellitus, a number of trade enterprises organized service corners for this category of the population. In turn, Volynzovnishkomkhlib LLC, Khlib JSC, Liubart Trading House LLC, and Lutskkondyter Production and Commercial Firm ensured the production of sugar-free bread, bakery and confectionery products, and lactic acid products on an acidophilic basis.

Quarterly, fairs are held in the city with the participation of agricultural producers for the sale of food and non-food goods and products.

Retail turnover in 2003 amounted to UAH 474.0 million; goods worth UAH 192.3 were sold per resident of the regional center.

Retail trade and restaurant enterprises (excluding the turnover of trade establishments owned by individual entrepreneurs) sold goods worth UAH 474.0 million in 2003.

Compared with the corresponding period last year, trade turnover increased by 28.7% in actual prices and by 20.8 percent in comparable prices.



The volume of retail turnover for December amounted to UAH 48.8 million and, in comparable prices, increased by 29.5% compared with December of last year, and by 13.1 percent compared with the previous month.

Per capita of the regional center per month, enterprises—legal entities sold goods worth UAH 192.3 (last year—UAH 147.2), whereas the average regional indicator is UAH 77.2.

Sales of agricultural products at the Central and Zavokzalnyi markets of Lutsk compared with 2002 increased by 8.9% while prices fell by 1.6%, mainly due to livestock products, which became cheaper by

In December, compared with the previous month, crop products became cheaper by 6.6% while their sales decreased by 20.3%. In particular, grain sales decreased by 20% while prices rose by 4.2%; flour sales, on the contrary, increased by 35.8% while prices rose by 3.7%; and groats sales increased 2.7 times while prices fell by 25.6 percent.

Livestock products rose in price by 6.4%, while sales increased by 5.6 percent.

In January-November, goods worth USD 131.6 million were exported and goods worth USD 370.9 million were imported; the city’s enterprises conducted foreign trade operations with partners from 65 countries worldwide.

According to data from the State Customs Service of Ukraine, in January-November, the foreign trade turnover of the city's enterprises amounted to USD 502.5 million, which is 75.4% more than in 2002. At the same time, goods worth USD 131.6 million were exported and goods worth USD 370.9 million were imported. The negative balance increased by 83.9% compared with last year and amounted to USD 239.3 million. The import coverage ratio by exports is 0.35 (last year - 0.38).

The city's enterprises conducted foreign trade operations with partners from 65 countries of the world (a year ago, with 62), including 118 enterprises exporting products to 47 countries, and 161 receiving imports from 51 states (last year, respectively, 136 to 49 countries and 173 from 46 states).

Export deliveries to CIS countries increased by 77.2%, and to other countries of the world by 66.1%, amounting to USD 28.9 million and USD 102.7 million, respectively. Goods worth USD 318.2 million arrived from CIS countries, and goods worth USD 52.7 million from other countries of the world, which is 83.8% and 49.7% more, respectively, than last year.

Foreign trade turnover with the countries of Europe and Asia increased by 70.2% and 4.4 times, respectively, and amounted to 129.5 million and 14.6 million dollars, while with the countries of America and Africa it decreased by 33.4% and 47.6%, respectively, and stands at 9.6 million and 1.7 million dollars.

The main trading partners of the city's enterprises remain business entities of the Russian Federation; foreign trade turnover with them amounts to USD 324.9 million (64.7% of the city total) and increased by 83.5% compared to last year. Exports to this country rose by 54.3%, and imports by 86%, amounting to USD 21.6 million and USD 303.3 million, respectively. The basis of exports to Russia is machinery and equipment (59.1%), milk and dairy products (22.6%), while imports are fuel and petroleum products (87.8 percent).



Compared to last year, export volume increased by 68.4%, or by $53.5 million, mainly due to an increase in supplies of machinery and equipment (by $14.3 million, or 78%), casein (by $9.8 million, or 3.2 times), measuring instruments (by $14.4 million, or 79.7 times), metals and articles thereof (by $3.6 million, or 2.5 times), milk and dairy products (by $3.0 million, or by 41 percent), and food industry products (by $5.1 million, or 9.3 times).

Imports of goods increased by 78.1%, or by 162.8 million dollars, mainly due to an increase in supplies of fuel and petroleum products (by 115 million dollars, or 71.7%), which arrived worth 275.7 million dollars, vehicles (by 26.2 million dollars, or 3.5 times), food industry products (by 9.1 million dollars, or 17.1 times), machinery and equipment (by 4.5 million dollars, or 91.5%), metals and products made from them (by 3.7 million dollars, or 63.7%), and chemical industry products (by 2.2 million dollars, or 38.3 percent).

The city's enterprises received imported tolling raw materials worth 9.6 million dollars (2.6% of total imports), which is 52.6% more than last year. Of its total quantity, 38.5% is sugar, 24.1% is polymer raw materials, 17.9% is textiles, and 11.3% is ferrous metals.

Finished products made from imported tolling raw materials were exported worth 7.8 million dollars (5.9% of total exports); 38.7% of this amount accounts for machinery and equipment, 31.1% for rubber and rubber products, and 30% for textile clothing. The largest amount of tolling raw materials came from Brazil (38.5%), Germany (20.5%), Poland (11.3%), and France (10.5 percent).

The city's share in the region's total foreign trade turnover is the largest and stands at 81.2%, compared with 66.9% last year. At the same time, its share in exports is 68.4%, and in imports 87.0% (last year, 56.0 and 73.1 percent, respectively).
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