1. Investment project (idea start – up) Deep processing products from agricultural raw materials produced in Ukraine 1

2. www.titil.net 2 Ukraine is one of the world’s leaders in grain production.Its export potential accounts for almost half of the available resources of grain and leguminous cultures 2 Balance of grain and leguminous cultures (including grain products), thous. tons Year2000200520082009201020112012 Production24459380165329046028392715674746216 Stock changes at the year-end 1329-3149952-6079-205412784-10052 Import1010226222136175273228 Total resources24140385564356052243415004423656496 Export1330126501666826160142391482527798 Spendings on seeding 3597329434893558322232262953 Spendings on nutririon 11056138171358013997147871633416147 Losses309375117775279415701491 Non-food recycling1006701625916165015511454 Spendings of grain for consumptionr 7748775070216860680867306653 Consumption of bread products (1 kg/person) 124,9123,5115,4111,7111,3110,4109,4

3. www.titil.net 3 The worldwide market of deep processing of grain products in 2013 is estimated of about 22.8 mlrd USD (more than 31 mln. tons) ProductTotal import, USDTotal import, kgTotal export, USDTotal export, kg Wheat gluten 1 387 463 3481 382 447 729956 541 712595 196 630 Bran, sharps 1 798 225 4856 656 723 3601 902 340 3358 803 408 614 Citric acid 1 514 728 8601 140 281 4651 068 121 864966 988 009 Lysine 1 996 765 0421 180 893 3281 603 197 939984 262 586 Starch 3 687 744 9697 005 409 4663 933 613 5896 860 422 224 Wheat starch 332 778 968597 145 901305 984 783535 718 901 Lactic acid 631 205 817300 854 456609 514 548282 692 842 Modified starch 3 933 263 6593 636 294 9353 436 684 7873 371 168 623 Glucose, fructose, fructose syrup 7 600 790 0999 412 795 5386 166 957 9587 571 064 872 Total 22 882 966 24731 312 846 17819 982 957 51529 970 923 301 3

4. www.titil.net 4 Grain can be produced into a wide range of deep processing products Grain: bran, molasses, flour Flour: gluten, starch, modified starches Starch: syrup, alcohol, organic acids (citric acid, cuccinic acid, lactic acid) Syrups: glucose, aminoacids (lysin etc.), glucose-fructose syrups

5. www.titil.net 5 Nowadays the production of a biodegradable plastic, which can be produced from lactic acid or succinic acid, is highly developping. Biodegradable plastic market is growing, since it displaces non-biodegradable plastic 5 World’s production of bioplastics by region in 2010 (in percentage) The growth of production of bioplastics (in thousands. tons) Biodegradable plastics are made from natural material as well as from fossil hydrocarbons

6. www.titil.net 6 Import market of deep processing products in Ukraine exceeds 137 million USD (2013) Export market of deep processing products in Ukraine exceeds 193 million USD (2013) Product Export from Ukraine 2013, mln UAH Bran1 317 264979 952 Glucose (20%)114 86731 661 Starch88 25519 921 Citric acid14 8961 566 Glucose (20-50%)1 043257 Modified starch5 656247 Lysine4 15346 Lactic acid30123 Fructose 50%110 Fructose00 Клейковина00 Gluten00 Total1 546 4461 033 673 Export 2013 Product Import to Ukraine 2013, mln UAH Import to Ukraine 2013, mln tons Modified starch 537 23546 171 Lysine 221 71614 349 Glucose (20%) 62 60611 025 Citric acid 73 7799 462 Fructose 6 9025 565 Lactic acid 78 1181 910 Gluten 15 7071 218 Wheat starch 1 507227 Fructose (50%) 86847 Glucose (20-50%) 57923 Bran 3 536241 Total 1 096 523108 235 Import 2013

7. www.titil.net 7 Ukraine is among the five countries-leaders (5th place) on bran export and is the third largest wheat bran exporter in the world ExporterTotal amount, USDTotal amount, kg Argentina 336 788 3302 004 147 011 USA 269 946 4911 213 872 008 Germany 128 978 753508 282 022 France 104 029 595461 222 059 Ukraine 78 196 621460 143 596 Leading countries in export of cereals bran in 2013 ExporterTotal amount, USDTotal amount, kg Indonesia 105 762 160431 629 125 Germany 106 889 800431 432 404 Ukraine 68 375 200415 652 082 France 57 295 832293 414 697 Russian Federation54 345 641279 460 979 Leading countries in export of wheat bran in 2013

8. www.titil.net 8 Statements from the deep processing of grain analysis ● Analysis of Ukraine domestic market shows that the inner demand for modified starches, lysine, glucose and fructose is not satisfied. ● Location of deep processing production in Ukraine has an advantage due to the presence of various agricultural raw materials and cheap labor. ● Analysis of the global market shows that there is a growing demand for biodegradable plastic. ● As Ukraine is one of the leading exporters of bran and it imports the goods and end- use products based on bran, it has the opportunity to create its own production of finished products based on bran, which can be claimed not only domestically but also in the global market. ● The most interesting and highly profitable deep processing products include organic acids and amino acids obtained by using specific strains of microorganisms. The nutrient environment for their production may be not only a syrup, but also, for example, molasses. Ukraine is an agricultural country with great potential, so it is possible to build a strong enterprise for deep processing of various raw materials: oil, milk, meat, poultry, wool, etc.

9. www.titil.net 9 Benefits for potentional investors ●Investments in construction of the plant ranges from 60 mln USD (depending on the configuration and products) ●The return on investment occurs in approximately 5 years ●IRR is not less than 20% ●Palma Group may act as a reliable local partner for foreign investors

10. www.titil.net 10 Благодарим за внимание! Инвестиционно – девелоперская компания «ТИТУЛ» Президент компании Тельман Аббасов Тел. +380674899222 Email: abbasovtelman@gmail.comabbasovtelman@gmail.com Сайт: www.titul.net.ua