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Nestl\u00e9 generates around 2% of its group turnover in Russia. <\/p>\n
Keystone-SDA <\/p>\n
Nestl\u00e9 risks losing control of part of its Russian business after a local logistics company reportedly asked President Vladimir Putin to place five of the Swiss group’s subsidiaries under temporary state administration.\n<\/p>\n
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August 17, 2026 – 12:52\n<\/p>\n
According to the Russian newspaper Kommersant, such a measure could be a first step towards a subsequent change of ownership. The Russian government plans to reportedly examine the request by the end of the year. KS Logistika justifies the move, amongst other things, on the grounds that Nestl\u00e9 is not expanding its production capacity and is no longer exporting goods manufactured in Russia.<\/p>\n
Reports of a possible compulsory administration weighed on Nestl\u00e9 shares on Monday. The share price fell by 1.6% to CHF79.70 ($98.30), making it the weakest blue chip in the Swiss benchmark index, the SMI.<\/p>\n
Nestl\u00e9: \u2018We are fulfilling our obligations\u2019<\/p>\n
Nestl\u00e9 has not yet been contacted by the authorities regarding this matter, a Nestl\u00e9 spokesperson told the AWP news agency. Its factories and offices are continuing to operate and the group is fulfilling its obligations. A withdrawal from the country is not on the cards, he declared.<\/p>\n
According to the spokesperson, Nestl\u00e9 generates around 2% of its group turnover in Russia. The company operates six production sites in Russia, where it manufactures, amongst other things, coffee, confectionery, baby food and pet food.<\/p>\n
In recent years, Russia has tightened the regulatory framework for foreign companies and introduced instruments to exert greater influence over firms.<\/p>\n
Following Russia\u2019s invasion of Ukraine in 2022, Nestl\u00e9 decided not to cease its operations in Russia entirely. At the time, the group justified this by stating that, as a food manufacturer, it wished to continue supplying the population with basic foodstuffs even in conflict regions. Other Western consumer goods groups also remain active in Russia, including Barry Callebaut, L\u2019Or\u00e9al and Beiersdorf.<\/p>\n
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Russian supermarket shelves are full of Nestl\u00e9 products like Nescaf\u00e9: report <\/p>\n
This content was published on <\/p>\n
Feb 4, 2023 <\/p>\n
Nestl\u00e9 said it would only provide \u201cessential\u201d goods such as baby milk in Russia. Supermarket shelves in Moscow paint a different picture. <\/p>\n
<\/p>\n Read more: Russian supermarket shelves are full of Nestl\u00e9 products like Nescaf\u00e9: report Danone has withdrawn<\/p>\n Analysts at the US bank JPMorgan now believe it possible that the Nestl\u00e9\u2019s Russian business could be lost. Should Nestl\u00e9 be forced to sell and generate little in the way of proceeds, this could reduce earnings per share by around 3-4%.<\/p>\n JPMorgan also expects this development is likely to increase pressure on Nestl\u00e9 to withdraw completely from Russia. This would not be unprecedented: the French food group Danone lost control of its Russian business in 2023 after the authorities placed it under temporary state administration. Danone eventually sold the business in 2024 for around \u20ac180 million and recorded a total loss of \u20ac1.2 billion.<\/p>\n \n More<\/p>\n More <\/p>\n Foreign Affairs\n <\/p>\n Swiss pharma exports to Russia continue despite war <\/p>\n This content was published on <\/p>\n Oct 21, 2025 <\/p>\n Exports of the Swiss pharmaceutical industry to Russia remain largely stable. <\/p>\n <\/p>\n Read more: Swiss pharma exports to Russia continue despite war The Danish brewing group Carlsberg faced a similar fate. Its Russian operations were also placed under state administration in 2023. At the end of 2024, Carlsberg completed its withdrawal with a management buy-out worth $320 million. Heineken, for its part, sold its Russian subsidiary for the symbolic price of \u20ac1 and recorded a total loss of \u20ac300 million.<\/p>\n How we produce English news<\/a> Articles in this story <\/p>\n","protected":false},"excerpt":{"rendered":"Nestl\u00e9 generates around 2% of its group turnover in Russia. Keystone-SDA Nestl\u00e9 risks losing control of part of…\n","protected":false},"author":2,"featured_media":116587,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[126],"tags":[101,629,1990,35,100,199,1456,103],"class_list":["post-116586","post","type-post","status-publish","format-standard","has-post-thumbnail","category-nestle","tag-article","tag-beat-workplace","tag-business-general","tag-food","tag-latest-news","tag-nestle","tag-politics-general","tag-production-type-deepl-autotranslation"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/117112544825120139","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/116586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=116586"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/116586\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/116587"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=116586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=116586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=116586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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Translated from German, reviewed by an\u00a0English Department<\/a> journalist.\u00a0<\/p>\n