Globus hangs on to Russia-establishment
Thomas Bruch: revenue rising – further markets under development
How is the Russia-establishment developing for Globus?
Bruch: In Russia, we are running ten markets around Moscow. With an assortment similar to that in Saarland. Locally we make meat- and sausage products with local recipes. We bake fresh bread and cakes. Our business has developed well. Around 7000 people are working for Globus in Russia.
Are further markets planned?
Bruch: We are building an establishment with 12000 square meters of sales area in Puschkino, north of Moscow. That is about the size of our market in Einöd. We are planning further establishments, in Kaluga. Due to the EU-financial sanctions, construction of the establishment cannot begin for the time being.
How high is the turnover share that the Russian markets bring for the company Globus altogether, currently?
Bruch: According to the rubel exchange rate, 15 to 20 percent, with rising inclination.
How strongly are you noticing the effects of the discussion about Vladimir Putin's course?
Bruch: I am in Russia between eight to ten times per year. Thus, I know the opinion of our employees. Vladimir Putin has a large backing among the population. Since his inauguration in 1999, the population's average income has increased twenty-fold: from 1500 to over 30,000 rubel per month. Accordingly so for the retirement pensions. Inflation has been reduced from 40 to seven percent in 2014. Economically, a huge dynamic has arisen. The image that part of our media conveys of Russia, I do not perceive as such. Construction is going on everywhere. The industry has gained immense performance capability. What's lacking is the middle class.
Has the development led to a drop in sales?
Bruch: No. The government has issued prohibitions on importing fresh produce from the EU, for fruit and vegetables, dairy products and cheese, meat and fish. This has not led to supply problems for us. From the start, with meat we have acquired Russian products. With fruit and vegetables, Turkish suppliers have filled in for the Italian or Spanish. The government has issued a program to promote self-sufficiency, especially when it comes to fresh produce. It is important in the long term that a country that large can generate a substantial part of the products it needs by itself.
How can the crisis in the international trade be solved?
Bruch: A good neighborship towards Russia is essential to our future. Russia has suffered immensely, with over 20 million dead in the second world war. Nevertheless, a great many Russians have a positive attitude towards us. Politically, we have a lot to thank Russia for. Michail Gorbatschov has provided crucial contributions to reunification. The German-Russian friendship is a great asset. We should not seek to separate, but to connect; that takes us further.
Will Globus open further markets abroad?
Bruch: Beyond Russia and the Czech Republic, where we are operating since 1996, we have no plans.
Source: www.saarbruecker-zeitung.de