Unilever, the British multinational consumer-goods company, has been labeled as an “international sponsor of war” by Ukraine’s National Agency on Corruption Prevention (NACP). The agency made this announcement on its official Telegram channel, citing Unilever’s decision to continue selling its products in Russia despite Moscow’s military operation in Ukraine since February of last year.
The NACP justified its designation by pointing out that Unilever had previously claimed its intention to leave the Russian market but has failed to do so. In fact, the company has reported a doubling of profits in Russia, amounting to over 9.2 billion rubles ($103.2 million) in 2022 compared to 4.8 billion rubles ($53.6 million) in 2021.
NACP head Aleksandr Novikov expressed the agency’s rationale, stating, “Unilever cannot oppose the conflict while simultaneously supporting Putin’s war machine. We have included this company in the list of International Sponsors of War because their hundreds of millions of tax contributions to the Russian budget help finance the war against Ukraine.”
Unilever is known for manufacturing popular brands such as Fairy and Domestos cleaning liquids, Knorr soups, Dove soaps, and various other food and household chemical products. At the onset of Western sanctions against Russia due to the Ukrainian conflict, Unilever was one of the first major Western firms to curtail operations in the country. The corporation ceased exports to and imports from Russia, suspended investments, advertising, and future projects. However, the company continued to supply essential food and hygiene products produced locally in Russia, with the profits remaining in the country.
In February, Unilever acknowledged the ongoing conflict’s financial implications on its business operations and stated it might consider completely withdrawing from the Russian market. Nevertheless, such a decision could result in a loss of turnover, profits, and a write-down of the company’s Russian assets. Unilever’s CEO, Alan Jope, emphasized the complexities of exiting the Russian market and expressed the company’s desire to support its approximately 3,000 employees currently working in Russia.
It is important to note that the NACP’s designation of Unilever as an “international sponsor of war” is a significant accusation, highlighting the agency’s concern regarding the company’s financial contributions to the Russian budget. Unilever’s decision to continue operating in Russia amid the ongoing conflict has raised ethical questions and brought its business practices under scrutiny.
As this story unfolds, it remains to be seen how Unilever will respond to the NACP’s accusations and whether any further actions will be taken by Ukrainian authorities or international bodies. The corporation’s reputation and future business decisions may face significant challenges as a result of these allegations.
For more stories on the economy and finance, visit RT’s business section.
Source link
