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Friday, 29.03.2024, 08:00
Pobeda Confectionery: Latvia will serve as springboard to the EU market
"Pobeda Confectionery increases its business volumes by 25% annually, whereas its turnover in the Customs Union countries made up EUR 72.5 million in 2013. The company is growing fast, thus it was decided that a new factory needs to be built in the EU, as chocolate shipments from Russia to the EU are encumbered by the current customs taxes. For this reason, a decision was made to build a factory in Latvia, so that it could serve as a springboard to the EU market," Muravyev indicated.
Initially, 80% of the factory's products will be exported to the regular markets – the United States, Mexico, China, Israel, Moldova, and Georgia. In the second year after the launch of the factory in Latvia, the company will also begin exports to the EU. Furthermore, the company's products could also be sold in various supermarket chains in Latvia, such as Rimi and Maxima, Muravyev said.
He also said that thanks to advantageous logistics and the comparatively low taxes, the company will be able to save up to 7% of its current export costs.
When asked about the impact of the geopolitical situation in Russia and its food embargo against the EU, Muravyev said: "We do not feel any decline in our business. On the opposite – we can see increasing interest about cooperation and opportunities to attract new investments both in Latvia and Russia."