Roshen

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Roshen Confectionery Corporation
Privately held company
Industry confectionery
Founded 1996
Founder Petro Poroshenko
Headquarters Kiev, Ukraine
Area served
Europe, Asia, North America[1]
Key people
Petro Poroshenko
Products 200 various types of confectionery
Revenue Increase USD 1 billion (2010)[2]
Number of employees
10 000 (2012, including subsidiaries)[3]
Website http://www.roshen.com/

Roshen Confectionery Corporation (Ukrainian: Кондитерська корпорація "Рошен" Kondyterska Korporatsiya "Roshen") is a Ukrainian confectionery manufacturing group, controlled by Petro Poroshenko. The leading manufacturer of confectionery products in the country,[4] it operates facilities in the Ukrainian cities of Kiev, Vinnytsia, Kremenchuk and Yahotyn, as well as in Hungary, Klaipėda (Lithuania) and Lipetsk (Russia)[1]. The name of the company was derived from the last name of its owner, Poroshenko.

In 2012, the Roshen Corporation was ranked 18th in the "Candy Industry Top 100" list of world's largest confectionery companies.[3] It has a total annual production volume exceeding 410,000 tonnes.[1][5] It exports to Kazakhstan, Uzbekistan, Kyrgyzstan, Azerbaijan, Armenia, Moldova, Estonia, Poland, Latvia, Lithuania, the United States, Canada, Germany and Israel.[5] It exported to Russia, with 40 percent of the company's grosses came from there until Russia stopped importing from the company in July 2013.[6]

History[edit]

Roshen chocolate.
Kiev Roshen Factory in the New Year 2012

Ban of exports to the Russian Federation[edit]

In July 2013, Russia banned all Roshen imports due to dissatisfaction with the packaging labelling.[1][7][8][9] Soon after Roshen products were also checked in Kazakhstan, Belarus, Kyrgyzstan and Moldova but this did not lead to complaints.[8] On 21 October 2013, Russia's ambassador to Ukraine Mikhail Zurabov said, "There are no problems with the quality of products, they are safe. But there are problems associated with the production technology, using some ingredients that are not certified in accordance with the law."[8] According to the 17 December 2013 Ukrainian-Russian action plan by 1 March 2014 Roshen products should have been back in Russian stores.[10] But on 12 March 2014, acting head of the Russian Federal Service for Supervision of Consumer Rights Protection and Human Welfare Anna Popova stated that Ukraine had not yet fulfilled their requirements to return Roshen products to the Russian market.[11]

Late March 2014 the Roshen factory in Lipetsk (Russia) was closed down and its local manager director charged with "conspiring with unnamed others to use a registered trademark illegally to extract additional profits".[12] Ukraine and the factory workers suspected the factory was closed because of Roshen's owner Petro Poroshenko involvement in Euromaidan and his participation in the 2014 Ukrainian presidential election.[12] According to Reuters some of the Roshen factory workers in Lipetsk felt embarrassed to work for Ukrainians "swept up in a wave of Russian patriotism since Moscow annexed Crimea" and gossiped about rumours of how the management "paid Ukrainians more money and were cheating the Russians".[12] On 13 May 2014 Russia banned the sale of Roshen products in Crimea.[13]

During the election campaign of the 2014 Ukrainian presidential election Roshen owner Poroshenko pledged to sell all his shares in Roshen if elected President; Poroshenko was elected President but by late December 2014 was not able to find a buyer for the company.[14]

Production network changes[edit]

Roshen has closed down its confectionary factory in Mariupol (Ukraine) in 2015 after the Donbas war in the vicinity and export ban by Russia deemed the production there unviable.

The corporation was earlier reported to operate facility in the town of Bershad (Ukraine), but it's not listed on the corporate web site.

Since March 2013, Roshen began co-production with a contract manufacturer in Hungary named "Bonbonetti".[15][16]

Products and brands[edit]

Chocolate (Roshen).jpg

"ROSHEN" (depicted in capitalized Latin script only) is the umbrella brand of all of the corporation's products. The name is a truncated version of Poroshenko, the last name of its owner.

Roshen makes a wide range of about 320 types of confectionery, including chocolate and jelly sweets, caramel, chocolate, biscuits, waffles, and cakes,[5][14] but is famous mostly by "Kyiv Vechirniy" chocolate candy and Kiev cakes, produced by the flagship Kiev Roshen Factory in Kiev. The corporation has a wide range of more affordable and less sophisticated products famous for high chocolate content.[7] In 2013 the company manufactured about 200 types of confectionery products and in total produced 410,000 tonnes of products that year.[5]

Public commitments[edit]

Recently all company's facilities practice intense and sophisticated decorative lighting on their buildings, especially during national holidays.

Interesting facts[edit]

Company's founder and owner Petro Poroshenko suffers from diabetes prohibiting him from eating confectionery.

References[edit]

  1. ^ a b c "Attitude of Russian watchdog to Roshen products related to labels alone – Ukrainian confectioners". Interfax-Ukraine. 6 August 2013. Archived from the original on 22 August 2013. Retrieved 8 September 2013. 
  2. ^ "Roshen Corporation". UPIGROUP. Archived from the original on 15 July 2011. Retrieved 3 March 2011. 
  3. ^ a b "2013 Top 100 Candy Companies". Candyindustry.com. Retrieved 19 August 2013. 
  4. ^ "Roshen suspends export of confectionery products to Russia". Kyiv Post. Interfax-Ukraine. 31 July 2013. Retrieved 8 September 2013. 
  5. ^ a b c d "Roshen products to be allowed back to Russian market after violations eliminated - Rospotrebnadzor". Interfax-Ukraine. 24 December 2013. Retrieved 3 November 2015. 
  6. ^ "Ukraine Election: The Chocolate King Rises". Spiegel Online. 22 May 2014. Retrieved 3 November 2015. 
  7. ^ a b Kuryata, Nina (17 Aug 2013). "The Fifth Floor". BBC World Service. Retrieved 8 September 2013. 
  8. ^ a b c Anastasia Zanuda (21 October 2013). Росспоживчнагляд почне перевіряти Roshen на якість [Russian agency will start checking the quality of Roshen] (in Ukrainian). BBC Ukraine. Retrieved 3 November 2015. 
  9. ^ "Russian inspectors have woeful impression of products of Roshen's Ukrainian factories - Onishchenko". Interfax-Ukraine. 28 October 2013. Retrieved 3 November 2015. 
  10. ^ "Ukrainian wagons, Roshen sweets to return to Russian market in early 2014, says Russian economy ministry". Interfax-Ukraine. 20 December 2013. Retrieved 3 November 2015. 
  11. ^ У Путіна кажуть, що Roshen не виконав їхні вимоги [Putin said that Roshen has not fulfilled their requirements] (in Ukrainian). Ukrayinska Pravda. 12 March 2014. Retrieved 3 November 2015. 
  12. ^ a b c Elizabeth Piper (2 April 2014). "Bitter times for chocolate factory in Russia-Ukraine crisis". Lipetsk, Russia. Reuters. Retrieved 3 November 2015. 
  13. ^ Росія заборонила ввозити цукерки Roshen в Крим [Russia has banned the import of Roshen sweets in Crimea] (in Ukrainian). Ukrayinska Pravda. 12 May 2014. Retrieved 3 November 2015. 
  14. ^ a b "Poroshenko won't rule out Roshen sale to management in installments due to absence of buyers". Interfax-Ukraine. 29 December 2014. Retrieved 3 November 2015. 
  15. ^ На фоне скандала в России Roshen начал выпуск шоколада в ЕС [Against the backdrop of a scandal in Russia Roshen has begun to release chocolate in the EU]. Korrespondent.net (in Russian). 31 July 2013. Retrieved 8 September 2013. 
  16. ^ Roshen выпустил шоколад в Венгрии [Roshen chocolate released in Hungary]. LigaBiznesInform (in Russian). 31 July 2013. Retrieved 8 September 2013. 

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