EBRD and donors support Ukrainian art kits company TM Ideyka relocation

From distribution to manufacturing

Olena founded the company after gaining experience in the toys and children’s products sector. Kiddi-Co initially operated as a small distribution business, supplying educational toys to retailers. “I was doing everything myself – sales, negotiations, purchasing…” she recalls.

The business gradually expanded into arts and crafts products and related stationery. Around 2011–2012, it began developing its own manufacturing capabilities.

A major milestone came in 2014, when TM Ideyka launched the first Ukrainian-made paint by numbers kits. At the time, Chinese products dominated the market, and many doubted that local production could compete.

“Everyone told us that we wouldn't be able to compete with China on price,” says Olena. But she was convinced that the company could focus on building its competitive advantages through a distinctive product range, innovation and flexibility in responding to market needs.

There was another challenge: the concept was still unfamiliar in Ukraine. The team placed partially painted canvases in shops, with some areas outlined and others already painted, so customers could feel confident that they needed not to know how to paint to get started.

The journey was far from easy. Initially, much of the production was manual, making the kits costly to manufacture. Developing suitable acrylic paints for artistic use also took time, as this type of paint was not yet produced in the country. Having experienced an allergic reaction to imported paints, which contained antifreeze agents to withstand transportation, Olena was determined to ensure that her own paints were formulated to be safe. Sourcing wood brought another unexpected obstacle: as a woman negotiating with sawmills, Olena sometimes faced gender bias when trying to secure fair prices.

“We had no one to learn from, so we had to find our own way – figuring out the best equipment for printing, how to cut the wooden frames, how to assemble them, and so on. It was challenging, but at the same time, very interesting,” Olena recalls.

Over the years, Kiddi-Co developed its own full-cycle production and expanded its range to include diamond mosaics and other creative products. The company obtained product safety certifications and achieved the Green Crane label. It now describes itself as the largest producer of paint by numbers kits in eastern Europe.

When the call came to leave

Russia’s full-scale invasion of Ukraine forced the company to change plans.

Kiddi-Co's production facilities were located in Dnipro, between the railway station and a railway bridge, dangerously close to areas that had already twice come under heavy shelling. European partners were also increasingly reluctant to work with the company because of the city's proximity to the front line.

But there was one challenge Kiddi-Co managed to avoid: a shortage of materials. “I always like to be on the safe side,” Olena says. She keeps a six-month supply of Chinese materials in stock, a precaution that proved crucial during both the Covid-19 pandemic and the full-scale invasion, when deliveries were disrupted. While many businesses faced limited supplies, Kiddi-Co was able to keep operating.

As the war raged on, relocating production became essential for the company’s safety and future. The process involved finding and preparing new premises, transporting and installing equipment, and setting up engineering systems and production processes. In August 2024, all production departments began operating in the western city of Kalush.

With relocation assistance from the EBRD and its Small Business Impact Fund, Kiddi-Co was later able to recover one-third of its key relocation costs.