Sales of Glavprodukt, Russia’s largest canned food producer owned by the US-based Universal Beverage Company (UBC), have fallen sharply since the company came under temporary administration by the Russian state, according to internal documents accessed by Reuters this Thursday.
Before the intervention, Glavprodukt—one of the few US firms still active in the country—recorded moderate profits. However, since the state took control, the company has begun to report net losses.
Although production has remained stable, the drop in sales has led to excess inventory, prompting the expansion of storage capacity and the search for new markets.
The state-appointed managers plan to increase shipments to destinations such as China, North Korea, the Middle East, South Asia, and Africa. However, internal documents warn of delays in deliveries to China, suggesting potential difficulties in penetrating that market.
Sources close to the matter told Reuters that the Ministry of Agriculture has urged state-managed companies to improve their performance.
