Austrian company Kotanyi plans production in Serbia for export to Russia

The Austrian producer of spices Kotanyi has announced that it will produce and pack spices for the Russian market in Serbia, the Austrian media reported on Wednesday.

The daily newspaper Kurier reports that 20% of the turnover that Kotanyi realises in Russia, mostly spice mix and powder garlic, fall under the ban on imports. Products for the Russian market will therefore be produced and packed in Serbia.

“We have to act quickly, in six to eight weeks our warehouse in Russia will be empty. Sales in Russia continue normally for now”, said company director Erwin Kotanyi to Kurier.

He claimed that there are many companies in the European Union that are looking for free packaging capacity in Serbia.

Kotanyi adds that a very good side effect of production in Serbia is that the export of goods from Serbia to Russia is duty free.

Russia has introduced a one-year ban on the import of food products from EU countries as a response to EU sanctions due to the crisis in Ukraine.

Translation provided by: www.halifax-translation.com