May 27, 2020

 

Cherkizovo discusses COVID-19 impact on food industry

 

 

The head of Cherkizovo Group's analytical center, Rustam Hafizov, recently took part in an online conference, during which experts and key players in the Russian food market discussed the problems and challenges arising from the COVID-19 pandemic.

 

The spread of the coronavirus had a negative impact on the food market and the purchasing power of the population. This was the conclusion of participants at the conference "Food industry in a crisis: Is there a need for a program of change?."

 

The event was organized by the Council for the Development of the Consumer Market of the Chamber of Commerce and Industry of the Russian Federation, the Commission on the Development of the Consumer Market of the Public Council under the Ministry of Industry and Trade and the Center for Social Design Platform.

 

The event was attended by representatives of the Food and Agriculture Organization of the United Nations (FAO), the Association of Retail Companies (ACORT), X5 Retail Group, Magnet, OZON, Danone and PepsiCo. Conference participants shared their experience in doing business in the new environment, discussed key challenges and possible solutions, as well as measures concerning state support for companies in the food sector.

 

Cherkizovo Group's chief analyst Hafizov spoke about the current crisis in the food industry. In his speech, he noted that the widespread spread of the coronavirus has already led to a significant drop in disposable incomes of the population, as well as the fact that today, more than a third of Russians are forced to save on food, based on surveys.

 

Hafizov also recalled that at the level of federal and regional authorities, several measures are being developed to mitigate the negative consequences of the crisis for the industry. According to the expert, one support measure could focus on targeted food assistance. Such an initiative was launched in April by a number of Russian industry associations. "In our opinion, this is a very important topic that needs to be discussed with the entire industry today," Hafizov said .

 

Cherkizovo Group has repeatedly supported the initiative to provide targeted assistance to low-income Russians in terms of providing them with products and other socially significant goods. According to Cherkizovo, the implementation of this idea will lead to an increase in trade and the launch of new industries, job creation and more tax revenues.

 

- Cherkizovo