Danone and Valio among producers to restrict operations in Russia

Danone has announced that it will be suspending all investments in Russia, while Valio will close its business operation, following the country’s invasion of Ukraine.

Danone said, however, that it will continue to produce and distribute its dairy products and infant nutrition to meet the essential food needs of the local population. Additionally, the company has closed one of its two factories in Ukraine, adding that the second was closed but managed to resume operations.

“At Danone, we are all deeply affected by what we are seeing every day since the invasion of Ukraine…Since the beginning of the conflict, our first priority has been for the safety of our employees in Ukraine, with whom we remain in constant contact,” a company spokesperson told FoodBev.

They added: “We are also working with the Red Cross to explore how we can bring a variety of basic necessities to Ukraine. Our teams in neighbouring countries are actively involved in collecting and distributing goods to refugees.”

Meanwhile, Valio has announced that the company will close its business operation in the country “immediately”.

Valio has one processed cheese factory near Moscow, which employs around 400 people.

“We strictly condemn Russia’s attack on independent Ukraine. Ethically, Valio cannot continue operations in Russia; therefore, we are ending business operation in Russia,” said Valio’s CEO, Annikka Hurme.

The Finnish dairy manufacturer has already halted all exports from Finland to Russia and Belarus, as well as imports of ingredients and packaging materials from Russia to Finland.