INSUBCONTINENT EXCLUSIVE:
Russia prepares to use an American-owned company whose assets it took to supply food to its army, Reuters reported Thursday, mentioning a
file it obtained.President Vladimir Putin bought the seizure of Glavprodukt, the countrys largest canned food producer, and its positioning
under momentary state control in October 2024
While Moscow has actually nationalized several foreign-owned services because the intrusion of Ukraine, Glavprodukt is the very first to be
taken from an American shareholder.In a letter to the Prosecutor General evaluated by Reuters, Glavprodukts brand-new management claimed the
takeover was essential to make sure steady food production, consisting of for products to the National Guard and the Defense
Ministry.Glavprodukt had never supplied the military before its seizure, an individual knowledgeable about the matter told Reuters.Following
the transfer, Glavprodukts owner, U.S
entrepreneur Leonid Smirnov, was implicated ofmoving around 1.38 billion rubles ($17 million) of the business funds out of Russia from 2022
to 2024 in defiance of Russias wartime constraints on capital withdrawal.According to the Prosecutor Generals Office, Smirnov also attempted
to blockGlavprodukts food shipments to the front and prompted staff members not to cooperate with the brand-new company management,
apparently out of a sense of revenge for the takeover.Smirnov rejects any wrongdoing.The seizure of Glavprodukt appears poised to benefit
organization interests connected to Alexander Tkachev, a former agriculture minister who is under Western sanctions, Reuters
reported.Smirnov founded Glavprodukt in 1999
Born in the Soviet Union, he emigrated to the U.S
in the 1970s, built a company profession and returned to Russia in 1995
Today, the business runs three major factories that produce a wide variety of canned meat, condensed milk and canned fish and veggies
Since late 2024, Smirnov stated the business held roughly 10% of Russias canned meat market, 7% of the dairy segment and up to 3% of the
fish market.In April 2023, Putinauthorizedthe government to take the Russia-based assets of foreign business from nations the Kremlin deem
unfriendly, a move commonly seen as retaliation to the West freezing around $300 billion in Russian state assets.
