Photo - Fonterra

Business Updates

Fonterra to exit Russian businesses

FoodTechBiz Desk

Fonterra has recently announced that it will exit its businesses in Russia. This follows the Co-op’s decision to suspend shipments of product to Russia at the end of February.

CEO Miles Hurrell says, “Our first step following Russia’s invasion of Ukraine was to establish the safety of the team in Russia, and our priority through this process continues to be doing the right thing by our people.”

“We then suspended shipment of product to Russia while we assessed the impact of economic sanctions and discussed our long-term plans with our customers and joint venture partner.”

“Following careful consideration of the impact on our people and our long-term plans for the Russian market, we will now close our office in Moscow, re-deploying staff where possible, and withdraw from our joint venture Unifood.”

“Fonterra exports a small amount of product to Russia, primarily butter, totalling about 1% of our annual exports. Given the current strong demand for New Zealand dairy, we are confident in our ability to re-allocate this product to other markets,” says Mr Hurrell.

New Zealand has been exporting butter to Russia for more than 40 years. Fonterra entered the joint venture Unifood in December 2018.

Click HERE to subscribe to our FREE Weekly Newsletter

Ishida unveils Sentinel 5.0 at Gulfood Manufacturing 2024: AI-Powered innovation for the food industry

Cheese GPT: Transforming Cheese-Making with AI

Food Africa and pacprocess MEA 2024 to launch with an additional hall space

OSH India 2024 opens in Mumbai with groundbreaking discussions on workplace safety and health innovations

ofi accelerates sustainability impact across global nuts supply chains

SCROLL FOR NEXT