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Symrise: We opened in “record time” in admin-heavy Russia

By Shane Starling , 04-Jul-2011
Last updated on 04-Jul-2011 at 14:34 GMT

Moscow
Moscow

German flavours giant Symrise said its longterm experience with exhaustive Russian paperwork via its Moscow sales and marketing office, allowed it to have its new Russian production facility open in “record time”.

Symrise opened it 40,000 square metre facility in Moscow last week, little more than a year after buying the land, a completion rate VP of corporate communications, Berhnard Kott told FoodNavigator was “almost unheard of in Russia.”

“Nobody does this in such a short period of time but we brought in the right people, the right expertise to deal with the local authorities, and worked with people on the ground, to get this result which is obviously very pleasing for us.”

The facility will employ about 40 Russians by year’s end and will service the peculiar flavour and fragrance tastes of the Russian market, as well as other Russian Commonwealth states like the Ukraine and Belorussia.

Formerly Symrise ingredients sold into Russia were manufactured in its German or other facilities. It has been active on the Russian market for about 30 years.

Kott said the Russian market was characterised by local tastes which were very different to those in the west and by a fragmented local supply chain with many smaller players, mostly of Russian origin.

“We are working very hard to better understand Russian tastes,” he said.

Like many ingredients businesses (International Flavurs and Fragrances also has a sales and marketing set-up in Russia), Symrise has made no secret of its emerging markets ambitions. It recently opened a plant in Singapaore to service growing demand in the Asia-pacific region, as well as operations in North Africa and the Middle East.

The move makes sense when the fact emerging markets are pushing up toward 50% of Symrise’s revenue is considered.

continuing its efforts to expand into regional markets. The new plant was built in accordance with high international standards. Symrise thus has a 40,000-square-meter production facility near Moscow with considerable potential for expansion.

At the official opening last week,, Dr Heinz-Juergen Bertram, Symrise CEO said: “The start-up of the production in Russia is the consistent continuation of our strategy of attaining a leading position in the emerging markets. We already have a modern development center and sales organization in Moscow. The creation of our own production facility is thus a logical step that will allow us to directly transform our extensive market and consumer knowledge into customized solutions for our customers.”

Heinrich Schaper, Symrise president of Flavor & Nutrition for Europe, Africa, Middle East added: “The local infrastructure will enable Symrise to continue to expand in the growth market Russia. ‘Made in Russia’ is an important prerequisite for market success. In addition, we will do everything we can to acquire a better understanding of the Russian consumer in order to offer customized product solutions.”

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