Ukraine lists Nestlé as international sponsor of war

Ukraine’s National Agency on Corruption Prevention (NACP) has included the Swiss corporation Nestlé in the list of international sponsors of the war because it continues to work in Russia, supply goods and expand its Russian production base.

Source: NACP

"Although the profit from the Russian market is only a little more than 2% of the entire Nestlé’s activity, the company has still not dared to leave the market of the terrorist state. Nestlé continues to work in the Russian Federation, supply goods to the aggressor and expand its Russian production base. This became the basis for including the company in the list of international sponsors of the war," the NACP stated.

The Swiss company had seven factories in Russia as of the beginning of 2022, NACP said. Nestlé has more than 7,000 employees in Russia. The company is represented in Russia through Nestlé Russia LLC. It paid more than US$25 million in taxes in 2021. However, Nestlé has not posted data on its income and taxes paid for 2022.

NACP stressed that the management of Nestlé Russia LLC appealed to the Ministry of Finance of the Russian Federation to take the necessary measures to limit open access to the results of operations and financial statements of the company's subsidiaries contained in the state information resource of financial statements in April 2023. The purpose of such a step is probably to avoid the imposition of sanctions on Nestlé's subsidiaries, NACP suggested.

Apart from that, Nestlé imported semifinished products and raw materials to Russia for US$374 million in 2022, and for US$271 million during nine months of 2023.

"The company announced the suspension of exports and imports to Russia, except essential goods, after the beginning of the full-scale invasion of the Russian Federation into Ukraine. However, the shelves of Russian stores are still full of their products. Among the available products: Bystrow breakfasts, Maggi soups and bouillon cubes, fodder for Purina animals, chocolate bars, Nespresso coffee," NACP said.

In addition, the company imported technical equipment to the territory of Russia under the guise of dry milk mixture in October 2022, as evidenced by the court proceedings of the Moscow Arbitration Court No. А40-24044/2023. That is, the company imports not only raw materials for necessities, but also tries to send technological equipment covertly to Russia for the development of its own business.

"History has not taught the Swiss corporation Nestlé anything. Even during the Second World War, the company worked on two fronts, supplying its products to the dry rations of the German army and at the same time exporting them to the countries of the anti-Hitler coalition. Therefore, by staying in the Russian Federation, Nestlé once again shows the whole world that it is normal to cooperate with the aggressor. And the Russian Federation itself demonstrates that it is still integrated into world processes, despite the war crimes and murders of thousands of Ukrainians," NACP summarised.

Background: The company is one of the largest producers of food products in the world, it conducts business in 187 countries. It has more than 2,000 brands worldwide, including well-known ones like KitKat, Nescafé, Nesquik, Nestea, etc.

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