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Procter & Gamble is recognized as an international sponsor of the war

02.02.2023
Procter & Gamble is recognized as an international sponsor of the war
The National Agency on Corruption Prevention (NACP) included the American corporation Procter & Gamble (P&G) in the list of international sponsors of the war. The company owns such subsidiaries and brands as Gillette, Fairy, Tide, Ariel, Lenor, Mr. Proper, Pampers, Always, Head & Shoulders, Pantene, Old Spice, Hugo Boss and others. The basis was the fact that, working in the Russian Federation, the company pays taxes to the Russian state budget and contributes to mobilization measures, the Economic Security Council of Ukraine provided information about this to the NACP. In March 2022, P&G announced the reduction of the range in the Russian market and promised to leave only health and hygiene products in it. And in August, information appeared that the company no longer invests in business development on the territory of the Russian Federation. Despite this, P&G's business still operates and develops in Russia. In particular, the household chemicals plant, which is the world's largest producer of detergents for P&G, and the factory for the production of blades and razors for Gillette continue to operate on the territory of the Russian Federation. In this way, the company continues to earn money on the Russian market and contribute to the state budget of the aggressor country. In 2021 alone, the company paid about $5.2 million in tax revenues and other payments. The company also provides jobs for about 2.5 thousand Russians. In March, already after announcing the reduction of its presence in the Russian market, P&G raised the prices of its own products in the Russian Federation by 40%, which almost offset the loss of income from the reduction of the brand portfolio. According to the company's 2022 report, the company's organic sales in Russia increased due to this increase in product prices. In addition, by remaining in Russia, the company contributes to mobilization, because according to the new Russian legislation, corporations working in the Russian Federation are forced to participate in mobilization activities, contribute to the recruitment of employees into the army and finance their military equipment.
"Unfortunately, due to the low moral threshold, hundreds of foreign companies remain working on the Russian market, thereby financing the army and the military-industrial complex of the aggressor state. Among the companies known to us, in addition to P&G, there are already OpenWay Group, Danieli, TMS Tankers Ltd., Minerva Marine Inc., Thenamaris Ships Management, Delta Tankers Ltd., Dynacom Tankers Management Ltd., Leroy Merlin, Mondi Group/Mondi PLC, eKassir, Liberian International Ship & Corporate Registry and Bonduelle. All information about their activities is transferred to the international company LSEG and entered into the World-Check database in order to protect the international financial industry from the sponsors of the Russian war," - said the Head of the NACP Oleksandr Novikov.
The role of the NACP in sanctions policy is provided for in the Individual Sanctions Roadmap developed by the Stanford International Working Group on Russian Sanctions.
Procter & Gamble is recognized as an international sponsor of the war

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