Russian consumer Cos turn to India as western brands pull the plug

Russia's e-commerce platforms Ozon and Yandex Market, food supplements firm Pharmstandard, dental products distributor Simkodent, largest food retailer X5 Retail Group and confectionery major UNICONF are among several Russian companies that have reached out to India for business ties amid Moscow's conflict with Kyiv.

Due to the conflict and the sanctions, many European and American brands have stopped supplying their goods including consumer electronics, and apparel to Russia.

"Many Russian companies have approached but there is apprehension on both sides especially about payment," said an official.

Yandex Market, involved in imports, logistics, customs clearance, storage and distribution of goods, is exploring the possibilities of sourcing apparel and fashion, toys, bed linen, home decor, textile fabrics, consumer electronics, kitchen items, tea and leather items from India, according to an industry source.

"Yandex Market is exploring different opportunities of global sourcing from the very beginning of 2022," the company replied to an email query from ET. "Currently, we are continuing to focus on that stream, aiming to supply Yandex Market clients with a unique assortment and open the Russian market for brands from all over the world, including from India," it added.

Food retailer X5 told ET that it is interested in expanding its cooperation with Indian suppliers of drinks, seafood, tea, coffee, chicory, rice, canned food, kitchenware, and fresh grapes, among others.

"X5's representatives will visit India in April last week," an X5 Group representative said in an email reply. Another official said e-commerce major Ozon has shown interest in branding Indian products.