The State Logistics Operator’s Final Month: A StateWatch Monitoring Report, December 2025

Information current as of 12 January 2026

– In December, the DOT announced 265 tenders totalling UAH 17.67 billion. Approximately half of these are currently being carried out by the newly merged DOT Defence Procurement Agency.

– Throughout December, 277 contracts totalling UAH 32.81 billion were concluded, with over 40% of this amount allocated to food supplies, which were contracted for a full year in advance for the first time.

– In the procurement of tinned meat, which was removed from the Catalogue, GRAND CONSULATE LLC was contracted for the largest sum of UAH 105.97 million. The company is owned by Tetiana Hlyniana, who was involved in the scandal concerning inflated food prices for the Armed Forces of Ukraine (AFU), known as “eggs at UAH 17”.

– For the first time, the agency procured ballistic blankets totalling over UAH 132 million. These blankets are designed to protect against bullets and fragments and can be used as a mobile shield.

– TALANLEGPROM LLC remains the key supplier of summer and winter boots, having signed 9 contracts worth UAH 2.5 billion. In total, 550,000 summer and 350,000 winter pairs were procured without competition.

– In December, body armour sets in configuration 1–5 were procured at the record-low price of UAH 17,524.5.

– For the first time, the agency announced tenders for women’s winter, wind- and water-resistant trousers with an anatomically tailored fit.

– Unsuccessful tenders amounted to UAH 1.83 billion. A portion of these were for the procurement of uniform items and adaptive clothing for wounded personnel, which failed due to a lack of bidders.

From January 2026, the State Logistics Operator (DOT) underwent a reorganisation following its merger with the Defence Procurement Agency (DPA). Centralised procurement is now carried out by the DOT Defence Procurement Agency.

In December, the DOT announced a total of 265 tenders (365 lots) with an expected value of UAH 17.67 billion, some of which were for 2026. However, a portion of these procurements – specifically 121 tenders announced towards the end of the year – are now being carried out by the merged DOT Defence Procurement Agency.

The largest share of the DOT’s announced tenders (UAH 11.25 billion) was allocated for the procurement of material equipment. Almost all procurements (99.9%) were initiated through a simplified procedure.

In December, the DOT concluded 277 contracts totalling UAH 32.81 billion, resulting from tenders announced in December and in previous months. Over 40% of the funds (UAH 14 billion) were spent by the agency on food supplies. Expenditure on material equipment totalled UAH 12.4 billion (37.8%), whilst UAH 6.12 billion (18.65%) was allocated to the petroleum, oil and lubricants (POL) category. Meanwhile, expenditure on other goods and services totalled UAH 291.45 million (0.89%).

In December, the DOT concluded 82 contracts for the supply of food products and water, totalling UAH 14 billion. Competition in tenders resulted in savings of UAH 4.58 billion.

Most of the contracted funds (UAH 12.94 billion) went toward 10 contracts to supply 101.69 million food ration packs for personnel (via the Catalogue for personnel) and 10,260 animal feed packs.

The largest sums amongst food suppliers were contracted to FLAVACOR LLC at UAH 1.72 billion (UAH 127.92 per pack) and BUSKY CANNERY LLC at UAH 1.67 billion (UAH 128.4 per pack). Notably, the latter is involved in a criminal proceedings with the State Bureau of Investigation concerning collusion in procuring substandard food at inflated prices.

However, several participants disagreed with the DOT’s decisions and appealed to the courts to have them overturned. In particular, MEAT PROM LLC, a company affiliated with Tetiana Hlyniana, challenged the victory of FLAVACOR LLC, allegedly due to a lack of warehouse facilities. FLAVACOR LLC filed an appeal with the court, but it was dismissed.

Additionally, in December, the DOT signed 12 contracts with OBOLON PJSC for the procurement of 81.39 million litres of bottled water, totalling UAH 327.58 million, with deliveries scheduled by the end of January and early April.

In December, the agency procured tinned meat as individual items for the first time. Previously, these products were contracted as part of the Catalogue, which comprised over 360 items, only as part of a comprehensive set. At the beginning of 2025, the Ministry of Defence (MoD) introduced a new system for monitoring the supply of tinned products. Before dispatch, the supplier must generate a consignment note in the DOT-Chain system that specifies the laboratory test protocol number. Without this number, the system will not allow a consignment note to be generated, meaning that products cannot be supplied without laboratory testing.

Separating tinned meat into a distinct procurement category is likely intended to enable more rigorous quality control. The total procurement value was UAH 289.67 million, with delivery scheduled by the end of Q1. Specifically, the following were contracted:

– 890,190 kg of braised pork at an average price of UAH 157.82 per kg (27.13% below the expected cost);

– 491,400 kg of meat breakfasts at an average price of UAH 176.31 per kg (2.75% below the expected cost);

– 309,960 kg of braised beef at an average price of UAH 181.92 per kg (21.57% below the expected cost).

GRAND CONSULATE LLC was awarded the largest contract value for tinned meat procurements (UAH 105.97 million). The company is involved in criminal proceedings concerning inflated prices for food products supplied to the AFU at the start of the full-scale invasion. Until November 2024, the company’s owner was Tetiana Hlyniana, who is currently wanted by the National Anti-Corruption Bureau of Ukraine (NABU). MEAT MIX LLC, another company within Hlyniana’s sphere of influence, is the manufacturer of products under these contracts and features in the aforementioned criminal proceedings.

Overall, 15 companies were awarded food product contracts in December. BUSKY CANNERY LLC received the largest contract value.

GRAND CONSULATE LLC was awarded the largest contract value for tinned meat procurements (UAH 105.97 million). The company is involved in criminal proceedings concerning inflated prices for food products supplied to the AFU at the start of the full-scale invasion. Until November 2024, the company’s owner was Tetiana Hlyniana, who is currently wanted by the National Anti-Corruption Bureau of Ukraine (NABU). MEAT MIX LLC, another company within Hlyniana’s sphere of influence, is the manufacturer of products under these contracts and features in the aforementioned criminal proceedings.

The DOT concluded 131 contracts for the procurement of material equipment, totalling UAH 12.4 billion. Overall savings amounted to UAH 275.72 million. More detailed information on key individual procurements is provided in the table below.

In December, the agency contracted 16 companies to supply 998,000 summer field suits at an average price of UAH 1,839.79, totalling UAH 1.84 billion. Delivery is scheduled by the end of September 2026.

Additionally, the DOT concluded contracts for the supply of various types of footwear. Specifically, 4 lots totalling 550,000 pairs of summer boots were contracted with TALANLEGPROM LLC at UAH 2,199.42 per pair, and 2 lots totalling 350,000 pairs of winter boots at UAH 2,239.17 per pair. The agency procured 65,000 pairs of ankle boots from UKRAINIAN INDUSTRIAL COMPANY KROK LLC and 195,000 pairs from TALANLEGPROM LLC (UAH 2,153.1 per pair).

Tenders for ankle boots were announced for the first time, while TALANLEGPROM LLC dominated the tenders for summer and winter boots, with minimal competition. From 2024 to 2025, the company secured 100% of the contracts for winter footwear and 99.3% for summer footwear. In contrast, UKRAINIAN INDUSTRIAL COMPANY KROK LLC only concluded two contracts totalling UAH 16.45 million.

In December, 42,000 body armour sets in configuration 1–5 were contracted at a record-low price due to intense competition. TEMP-3000 LLC will supply 24,000 sets by the end of summer at UAH 17,199 per unit, while UKRTAK.UA LLC will supply the remainder by the end of autumn at UAH 17,849.9 per unit.

COMMERCE ARMOR LLC, linked to the KHARKIV PLANT OF PERSONAL PROTECTIVE EQUIPMENT LLC (KhPPPE), participated in the December tenders for the first time. The two enterprises participated in the same procurement with identical products, but in different lots. Specifically, COMMERCE ARMOR LLC applied for a lot comprising 18,000 body armour sets and offered products manufactured by KhPPPE, labelled as “Plastoon UAFE Gen 2”. The price proposal was UAH 21,798.13, which was UAH 6 lower than that of the KhPPPE. Meanwhile, the latter offered an identical product in another lot for 24,000 sets.

Oleh Holovchenko, the owner of COMMERCE ARMOR LLC, owned KHARKIV TACTICAL GEAR RESEARCH INSTITUTE LLC until 2024. Until 2017, this enterprise was registered at the same address as KhPPPE, suggesting a possible link between the tender participants.

For the first time, the agency procured ballistic blankets, totalling over UAH 132 million, with almost no savings. KHARKIV PLANT OF PERSONAL PROTECTIVE EQUIPMENT LLC will supply 3,300 units at UAH 24,980 each, while TEMP-3000 LLC will supply an additional 2,000 units at UAH 24,979 each. Designed to protect against bullets and fragments from shells, mines or hand grenades, ballistic blankets can be used as a mobile shield and quickly secured to the arm or shoulder.

Additionally, in December, the DOT procured material equipment in the MultiCam pattern as an alternative to basic camouflage. Following the tenders, contracts were concluded for 100,000 units of each of the following items: winter and summer special suits, priced on average at UAH 4,266 and UAH 4,173 respectively; summer special suit trousers, priced at UAH 999.5; and combat shirts, priced at UAH 886.

Following the unsuccessful November procurement of 40,000 ballistic helmets at an expected price of UAH 8,518.62, the agency re-announced the tender in December, increasing the cost to UAH 9,321.41. This prompted the return of two key suppliers: TEMP-3000 LLC and KM DISTI LLC. Consequently, KM DISTI LLC was contracted to supply 28,000 helmets at an average price of UAH 9,295.20, and TEMP-3000 LLC to supply 12,000 helmets at UAH 9,316 per unit.

Separately, the DOT placed an order with KNITWEAR FACTORY ROSA PRJSC and OLIMP YEVROTREID LLC for 50,000 women’s vests and 50,440 pairs of briefs, totalling UAH 16.81 million. StateWatch analysts established that, as of the end of 2025, 63,645 vests and 50,299 pairs of briefs from previous procurements remained undistributed in AFU warehouses. This may indicate low demand for the products amongst female servicewomen, or a lack of motivation amongst certain logistics service officers to travel to warehouses for women’s items exclusively.

In December, the agency announced tenders for 10,000 women’s winter, wind- and water-resistant trousers (UAH 2,300), which are scheduled for delivery by September 2026. Separately, the collection of commercial proposals for women’s winter shirts, long johns, and mid-season undergarments has commenced. The Logistics Forces Command (LFC) has also included 10,000 women’s jackets and 2,000 body armour sets in the 2026 Requirement, alongside other women’s items.

Overall, 49 companies were awarded material equipment contracts in December. The largest sum, UAH 2.59 billion, was awarded to TALANLEGPROM LLC.

Petroleum, Oil and Lubricants

In December, the agency concluded 38 contracts for the supply of petroleum, oil and lubricants, totalling UAH 6.12 billion. The DOT achieved savings of UAH 424.26 million.

Following the unsuccessful November procurement of 40,000 ballistic helmets at an expected price of UAH 8,518.62, the agency re-announced the tender in December, increasing the cost to UAH 9,321.41. This prompted the return of two key suppliers: TEMP-3000 LLC and KM DISTI LLC. Consequently, KM DISTI LLC was contracted to supply 28,000 helmets at an average price of UAH 9,295.20, and TEMP-3000 LLC to supply 12,000 helmets at UAH 9,316 per unit.

Arctic diesel accounted for the largest proportion of the total value of fuel contracts in December, at 93,200 tonnes worth UAH 3.92 billion (an average price of UAH 42,106 per tonne).

For comparison, in October, arctic diesel was procured at a lower average price of UAH 38,037.4, whilst in November, procurements did not take place. The A-95 Consulting Group attributed this to a sharp deterioration in the physical availability of diesel fuel. Since the destruction of the Kremenchuk Oil Refinery in 2022, Ukraine has been entirely dependent on imports. From 1 October, the country lost up to 25% of its import supplies due to the cessation of shipments from the Romanian port of Constanța, for which no alternative routes had been established. Further details are provided in StateWatch’s November monitoring report.

Separately, the DOT purchased 22,500 tonnes of A-80 petrol, totalling UAH 1.21 billion (an average price of UAH 53,843.78 per tonne). Most of this (16,500 tonnes) was purchased from VTG-TRADING LLC at an average price of UAH 55,744 per tonne, with the remainder purchased from UKRNAFTA JSC at an average price of UAH 49,490 per tonne. A voucher for 500 litres of diesel fuel was also purchased from OKKO-SERVICE PE at UAH 57 per litre.

In December, the agency also procured 21,741 tonnes of jet engine fuel from UKRNAFTA JSC at an average price of UAH 44,939.52.

Overall, POL contracts in December were concluded with 5 companies. The largest sum, UAH 5.19 billion, was received by UKRNAFTA JSC.

Challenges in December Procurements

Out of all announced procurements, a total of 95 lots worth over UAH 1.83 billion were not completed in December.

In the material equipment category, 51 tenders worth UAH 1.09 billion were cancelled due to a lack of proposals. Specifically, the agency was unable to procure 2.79 million pairs of men’s briefs, valued at UAH 293 million. The first tenders, accounting for around half of the total volume, were announced at the beginning of December, with an expected cost of UAH 101.46 per unit and delivery scheduled for September–November. At that time, participants did not submit proposals. Repeat tenders for an equivalent quantity at a price UAH 7 higher also failed to attract bidders.

A similar situation occurred with the procurement of long-sleeved and short-sleeved undershirts, totalling UAH 166.76 million. Tenders for 100,000 units of each type were announced twice, with the expected price increasing from UAH 435.23 to UAH 483.78 for long-sleeved undershirts, and from UAH 367.56 to UAH 381 for short-sleeved undershirts. However, the tenders did not proceed.

Despite the expected cost of adaptive shorts increasing from UAH 361.78 to UAH 393.6, the tenders were unsuccessful. Additionally, the procurement of 35,000 pairs of adaptive trousers at UAH 478.26 did not take place due to a lack of participants.

Furthermore, the DOT was unable to purchase 725,000 sets of undergarments, 550,000 sets of cold-weather underwear, or 75,000 adaptive vests due to a lack of proposals.

Additionally, the procurement of 666,799 combat rations (menus 1–14) at UAH 416.86 per unit across 5 lots was unsuccessful due to a lack of participants. Deliveries were planned in three stages, commencing at the end of January and concluding at the end of March.

Large Volumes of Goods in a Single Lot

During the month, the agency contracted for 300,000 sleeping bags at an average price of UAH 3,977.75 per unit. In November, the DOT announced 3 large lots: two for the supply of 105,000 units each, expected to cost UAH 420 million per lot; and one for 52,500 units, expected to cost UAH 210 million (UAH 4,000 per unit).

Competition within these procedures was limited. Only two companies participated in one of the lots for 105,000 sleeping bags, whilst one company participated in each of the other two lots. A higher level of competition was only observed in a separate lot for 37,500 bags, where 4 companies submitted tenders.

Following the procedures, four contracts were signed:

– ANVA LLC for the supply of 105,000 sleeping bags at UAH 3,979.98 per unit;

– EKVIPTORG LLC for 105,000 bags at UAH 3,972 per unit;

– YUKA GROUP LTD LLC for 52,500 bags at UAH 3,982.02 per unit;

– TEXTILE-CONTACT LLC for 37,500 bags at UAH 3,976.98 per unit.

Notably, the last time the DOT attempted to procure sleeping bags was in March 2024. However, the tenders were unsuccessful due to a lack of participants. At that time, the tender was divided into three large lots ranging from 85,000 to 160,000 units, with an expected cost of UAH 2,175 per unit — almost half the price of the current procedure.

Court Cases

One challenge for the DOT has been judicial appeals against tender results. In two large procurements for the supply of modular body armour (configuration 1–11), with an expected cost of UAH 37,386, KhPPPE contested the agency’s decisions and took them to court.

Two similar court cases concern different procurements in which the winner, UKRTAK.UA LLC, was contracted for 34,000 body armour sets at a price of UAH 25,499.99 and 16,000 at UAH 26,299.9 respectively. KhPPPE claims that the winner’s proposals did not meet the requirements of the tender, as they did not include documents confirming experience in executing similar contracts.

KhPPPE is also contesting the contracting authority’s decision in two cases to accept UKRTAK.UA LLC’s certificates of conformity, which were issued separately for configurations 1–8 and 9–11, despite the procurement being announced for configuration 1–11. The courts of first instance ruled in favour of KhPPPE, after which UKRTAK.UA LLC filed an appeal.

AMCU Decisions

In December, the Antimonopoly Committee of Ukraine (AMCU) found MIK LLC and PAKOPTTORG LLC guilty of anti-competitive concerted practices during procurements of body armour covers and winter jackets conducted by the DOT in 2024.

The AMCU found that, during the tenders, the participants had coordinated their behaviour with the aim of eliminating competition. They submitted proposals with similar price indicators and did not compete with one another to lower prices. These actions created only the appearance of competition, influencing the outcome of the procurement of material equipment for the AFU.

The companies were ultimately fined a total of UAH 36.3 million and added to the register of violators, constituting grounds for debarment from public procurement for three years.

Prozorro Risks

The StateWatch Think Tank, in collaboration with Prozorro, has introduced two new risk indicators concerning amendments to improve quality in already concluded contracts. Indicator ARI 1-1 records the publication of three or more supplementary agreements for a single contract in the electronic system, while ARI 1-2 records two or more supplementary agreements concluded under the pretext of improving the quality of the procurement process.

If a company has concluded supplementary agreements for ‘quality improvement’ on more than two occasions, this may suggest that the initial supply of goods did not meet the technical requirements or expectations of the contracting authority. Such repeated quality corrections represent a potential risk signal for monitoring and evaluating procurement effectiveness.

The automatic indicator system will identify procurements with an elevated level of risk, which may indicate possible violations of legislative requirements. Procurements that trigger the indicators are automatically selected by the system and forwarded to the State Audit Service for further monitoring.

Based on the operation of the indicators in December, no risks were identified in DOT procurements.

Recommendations based on the analysis of challenges in December 2025:

For the DOT Defence Procurement Agency:

1. Announce the collection of commercial proposals for adaptive clothing to conduct a preliminary market analysis and establish market-based expected prices.

2. Strengthen the verification of participants’ documents and compliance with tender documentation requirements to reduce the risk of judicial appeals.

For the MoD:

1. Introduce a mandatory division of large-volume procurements into lots to increase competition and broaden the range of potential suppliers.

For the Central Directorate for the Development of Material Support of the LFC

1. Provide official clarification on the possibility of confirming the compliance of procurement subjects with multiple certificates, where procurement is announced for a single configuration.

DOT procurement monitoring has been supported by the Office of the United Kingdom’s Special Defence Advisor and delivered by EDGE Foundation and StateWatch Think Tank