Contrary to common belief, exports of a substantial portion of European goods to Russia continue in 2024–2025. The sanctions regime remains primarily targeted at industrial goods, dual‑use items and high‑technology products; restrictions on food remain relatively limited. Many basic food items are formally permitted for export and are supplied to Russia both directly and via third countries and specialized logistics routes (e.g., through Turkey, the Caucasus, Central Asia).

Main constraints and trade factors

• Financing: lack of credit lines and a shift to payment predominantly by full prepayment are the main barriers, increasing commercial risk and complicating supply chains for both sides.

• Customs control: inspections and controls at borders have become more frequent; with correct documentation and transparent logistics this is manageable.

• Business contacts: the inability to meet regularly in person limits opportunities to build and sustain long‑term partnerships with Russian counterparts.

Belgian food categories and demand

Demand for Belgian food products in Russia remains significant in 2024–2025.  Key categories:

• chocolate and confectionery;

• biscuits, cookies and sweets;

• Italian pasta and sauces (manufactured in Belgium for the Russian market);

• dairy products and desserts; cheeses and specialty dairy items;

• bakery and baked goods under private label, including frozen dough and semi‑finished products;

• seafood and frozen fish, and seafood semi‑finished products;

• white and blended wines (including Belgian blends and re‑bottled imports);

• non‑alcoholic beverages and premium mineral waters;

• spices, seasonings and sauces; niche snacks and desserts; ready dessert pastes and industrial components for the food sector.

Besides Belgian supplies, in 2024–2025 Russia continues to import: 

• Swiss and Belgian premium chocolate,

• Italian pasta and high‑quality cheeses, 

• French still and sparkling wines, 

• German and Austrian beer, 

• spirits and packaged meat delicacies, bakery private‑label products from several EU countries, and seafood from various European coastal states.

Distribution model and growth of direct procurement

The distributor model continues to dominate: distributors remain the main channel for European producers entering the Russian market. However, direct procurement by some Russian chains and large importers is growing, especially in premium and niche segments (premium chocolate, cheeses, wines, seafood). These buyers seek to reduce margins, increase quality control and brand management, accepting additional logistical and organizational responsibility.

Producer sentiment about leaving Russia

European producers’ attitudes toward exiting Russia are mixed. Many medium‑sized niche companies express regret over losing a market they developed over years through branding and distribution: they report lost revenue, ongoing fixed costs and difficulty finding alternative markets with comparable volume and margins. If sanctions were lifted, many of these producers would likely return, but under current conditions exit is viewed by many as an economically necessary decision.

Conclusions and recommendations

• Suppliers and exporters should plan for prepayment terms and develop insurance/hedging against commercial risks.

• Strict documentation and transparent logistics are essential to minimize customs delays.

• Strengthening relationships with reliable distributors remains a priority; simultaneously, targeted direct contracts in premium and niche segments are advisable to optimize margin and quality control.

• Small and medium producers should pursue market diversification and adapt product lines for private‑label and local preferences to maintain presence and competitiveness.

(Brief business summary based on observed European export activity to the Russian market in 2024–2025, cusoms-/ govermental wstatistics)

Contrary to common perception, the majority of products are not included in sanction lists and can continue to be traded in Russia in the usual way. This applies both to food products and to the broader FMCG sector.

Many European companies (in particular several Belgian companies) continue supplying goods to Russia, filling unoccupied market niches.

In Europe, there are official consultation mechanisms available — you can contact the Belgian customs authorities to check the compliance status of your specific product category. In a short timeframe, you will receive confirmation whether your goods or your Russian customer are included in any sanctions lists.

After that, you can proceed with sales to Russia without concerns or risks of violating international trade regulations.

Permitted Chapters and HS Codes

The following list is complete and exhaustive for international trade (B2B export/re-export of food products from the EU to Russia in april  2026). All listed HS chapters and codes are permitted.

• 09 (tea/coffee)

• 11 (flour/cereals)

• 13–14 (additives/nuts)

• 15 (vegetable oils)

• 17–19 (confectionery)

• 20 (juices, partially)

• 21 (spices/supplements)

• Additional: 2200 (soft drinks/lemonades), 2207 (<80% alcohol), 2309 (animal feed)

Prohibited Categories and HS Codes

Chapters 01–08, 10, 12, 16, 22 (premium alcohol included) are prohibited:

• 01–08 — Live animals and animal products, including live animals, meat and edible offal, fish and seafood, dairy products, eggs, honey, and other animal-origin products.

• 10 — Cereals, including wheat, rye, barley, oats, maize, and other grain crops.

• 12 — Oilseeds and technical crops, including soybeans, sunflower seeds, rapeseed, seeds used for oil production, as well as medicinal and industrial plants.

• 16 — Prepared meat and fish products, including sausages, canned goods, and processed meat and fish items.

• 22 — Beverages, alcohol, and vinegar, including soft drinks, beer, wine, strong alcoholic beverages, and vinegar.

• Approximately 95% of EU food imports are restricted, including: meat, dairy, fish, fruits, and vegetables

Belgium-specific overview

The main export categories from Belgium include:

• 1806 (chocolate): ~€75–85 million

• 1509 (margarine): ~€10 million

• 0902 (tea): ~€5 million

Total food-related exports from Belgium еo RUssia are approximately €110 million in 2025.

Russian customs data, commission.europa.eu, eur-lex.europa.eu

What is it and why does it exist?

"Chestny ZNAK" is a safety system used in Russia and neighboring countries. Every single product gets a special digital code (it looks like a square QR code, but it is called a DataMatrix code). Think of it like a digital passport for your product. 

Why? 

To stop fake products! When a customer scans the code with their smartphone, they can see right away that your product is real, safe, and made by your company.  Fore example, refore the introduction of digital codes, 

Before the introduction of digital codes, counterfeits dominated the market, accounting, for example, for over 40% of footwear, 30–35% of clothing, and around 20% of perfumes. After implementation of mandatory labeling, the volume of illegal products has been shrinking rapidly and is now steadily approaching zero. 

The Good and the Bad for You

Changing your routine can be tricky, but this system actually brings absolute advantage for European brands.

No more fake copies

 copies and counterfeits cannot be sold anymore. Your brand name stays protected and clean.

Fair play

competitors who used to smuggle goods without paying taxes are out of the game. The market is now clean and fair.

Customers trust you more

people love knowing they are buying a 100% authentic product from Europe.

More shelf space

as some messy brands leave the market, you get more room to grow

However, the other side of the coin is that implementing brings you extra costs (you need to spend some money on printers, labels, and software) and extra paperwork (there are new digital rules and steps you must follow).

What Products Need These Codes?

• August 2016 — Fur coats and natural fur products

• March 2019 — Tobacco products and cigarettes

• July 2020 — Pharmaceuticals and prescription drugs

• July 2020 — Footwear and all types of shoes

• October 2020 — Perfumes and toilet waters

• October 2020 — Cameras and flash-lamps

• November 2020 — Car tires and rubber covers

• January 2021 — Light industry clothes and home textiles

• June 2021 — Cheese and ice cream

• December 2021 — Dairy products and milk

• March 2022 — Packaged drinking water

• September 2023 — Antiseptics and sanitizers

• October 2023 — Dietary supplements (vitals and vitamins)

• January 2024 — Beer and low-alcohol drinks + further expansion in 2025–2027

• February 2025 — Vegetable oils in all packaging

• March 2025 — Cosmetics and skincare products

• May 2025 — Hair-care products and personal detergents

• October 2025 — Cement and dry construction mixes

• December 2025 — Mounting foams, sealants, and caulks

• December 2025 — Sweets, cookies, gingerbread, and halva

• December 2025 — Cocoa-based powder and instant drinks

• March 2026 — Bakery goods, cakes, croissants, and pastries

• April 2026 — Brewable tea and herbal tea products

• May 2026 — Chocolates, chewable gums, and caramels

• June 2026 — Instant coffee, coffee beans, and chicory

• September 2026 — Grocery snacks, spices, honey, and sauces

• October 2026 — Household chemicals, tissues, and diapers

• November 2026 — Specific agricultural fertilizers

• December 2026 — Fine jewelry, metals, and electronics

• June 2027 — Full grocery retail volume-varietal checking

• December 2027 — Final deadline for total consumer product coverage

How does it work for a European factory?

Since a factory in Europe cannot log into the system directly, you work as a team with your local partner (the importer):

1. The Order: Your importer orders the digital codes online.

2. The Delivery: They send these codes to you as a file.

3. The Labeling: You print the codes and stick them onto the products or boxes.

4. The Shipping: You send the coded goods to the border. The system scans them, sees everything is legal, and lets your goods in!

Try to agree with your Russian partner on using an outsourcing transit warehouse outside the border (for example, in Poland, Lithuania, or Turkey). 

Many Russian companies have partners there, who can print and stick the codes before the goods cross the border.

 It saves your factory time and keeps your mind at peace! 

Examples, how European companies apply stickers

Still, some partners will insist that you label the goods directly at your factory. If so, foresee extra time for the preparation of your order. In the very beginning, setting up the process will be annoying and will inevitably slow down the factory: fast assembly lines in Europe simply do not like stopping to print new labels.

1. Pre-printing (Codes on Packaging Design) 

• Setup Costs: Low. No factory machinery needed. You only spend money on IT integration to sync your ERP system with the digital portal and your printer.

• Running Costs (Per Item): Tiny. Printing the code directly onto the packaging adds less than a cent to the cost.

• Best For: Huge production runs (over 1 million units) with a fixed design like cosmetics, household cleaners, or groceries.

2. Aggregation (Group Codes)

• Setup Costs: Medium ($5,000 to $15,000). You need industrial 2D barcode scanners and a Warehouse Management System (WMS) update to link individual codes to master pallets.

• Running Costs (Per Item): Low. It only costs the working time of warehouse staff packing the pallets.

• Best For: Any brand shipping massive wholesale batches, especially shoes, clothes, and perfume.

3. Manual Labeling Zones (Separate Teams)

• Setup Costs: Very Low ($2,000 to $3,000). Just buy a couple of standard label printers (like Zebra or TSC) and hand scanners. No need to touch your main factory lines.

• Running Costs (Per Item): High. This is the most expensive path long-term because European hourly wages are very high. For instance, in Belgium, manual labeling costs around €0.37 to €0.53 per sticker due to strict labor taxes.

• Best For: Premium brands, luxury clothing, expensive perfumes, or small test batches.

In reality, manual stickering (this 3rd option) is the most widely used method by European exporters today.

Belgium has some of the highest labor costs in the European Union. Minimum hourly wages for warehouse staff and local labor taxes are much higher here compared to Eastern Europe or Turkey.

If you set up a separate manual labeling zone at a factory in Belgium, your costs per sticker will look like this:

• Labor Costs (Gross + Employer Taxes): A warehouse worker in Belgium costs a company €25 to €35 per hour. Taking into account the average speed of manual unpacking, labeling, scanning, and repacking (about 60–80 items per hour), the labor cost alone is €0.35 to €0.50 per item.

• Materials & Wear-and-Tear: High-quality European self-adhesive labels and thermal transfer printer ribbon add about €0.01 to €0.02 per sticker.

• System Fee: The official government registration fee is fixed at 60 kopecks (roughly €0.006).

Total Cost in Belgium: An average of €0.37 to €0.53 per single sticker.

For high-end products like premium Belgian chocolates or luxury perfumes, paying an extra €0.50 per item is acceptable. 

4. "Print-and-Apply" (Fully Automated Systems)

However, for everyday mass-market goods, this high manual labeling cost inside the country simply ruins the profit margins. Because of this, Belgian brands usually they invest heavily in automated Print-and-Apply systems to completely remove expensive Belgian manual labor from the equation.

• Setup Costs: Very High ($30,000 to $100,000+ per line). You have to buy high-speed hardware (like Videojet or Markem-Imaje), install it into the conveyor belt, add air-jet rejection systems, and buy advanced software.

• Running Costs (Per Item): Almost Zero. The system is 100% automated with zero human labor. You only pay for blank sticker rolls and ink ribbons.

• Best For: Mega-factories running 24/7 (beer, sodas, or medicine) where every second of line downtime costs more than the machine itself.

5. Outsourcing to Transit Warehouses (Poland, Lithuania, or Turkey) 

Instead of changing anything at your own factory, you ship your products in standard trucks to a specialized logistics hub near the border. Your local partner (the importer) uploads the digital codes directly to the warehouse, and their team handles everything before the cargo crosses the customs line.

• Setup Costs: Zero ($0). You do not need to buy any printers, scanners, or software updates for your factory. You simply sign a contract with a 3PL logistics provider that already has the infrastructure ready.

• Running Costs (Per Item): Low to Medium (€0.15 to €0.20 per sticker). Because labor rates and warehouse taxes in countries like Poland, Lithuania, or Turkey are much lower than in Western Europe, the exact same manual work costs 2 to 3 times less than doing it in Belgium or Germany.

• Best For: European exporters who want zero stress, have no extra space or labor at their own factory, and want to keep their high-speed production lines running without a single interruption.

Re-export is an international trade scheme where goods are purchased in one country, then resold through a third country and shipped onward to the final destination. In other words, the goods “transfer” through an intermediary country, where their legal documentation may change, even if the physical route does not.

This practice is generally legal when all customs rules are followed and the goods are not restricted (e.g., dual-use items). Typically, customs are paid twice: first in the transit country (such as Türkiye, the UAE, or Kazakhstan), and then again in the destination country (e.g., Russia, including duties and VAT).

In essence, re-export is not about by passing regulations, but about restructuring supply chains within legal trade frameworks. 

How Re-export to Russia Works?

1. Goods are purchased in the country of origin (eg. Germany, Italy, China, or the USA).  Manufacturer does not sell directly to Russia, but instead sells to:

• a Turkish company

• a Kazakh distributor

• a trading company in Dubai

2. Goods “change ownership” in a third country
Products are imported into that intermediary country and become legally considered part of its local market. Export documents are changed, showing a new country of export. This is legally correct procedure.

3. Resale to Russia
The intermediary company then resells the goods to Russia. This is legally correct fot not-sanctioned products and forbidden for sanctioned produts.

Re-export is a legal (for all not-sanctioned produts) but inefficient commercial model, leading to reduced turnover. 

Direct export is always best if your goods are not subject to sanctions. It represents a standard and structurally healthier trade model.

Exporters to Russia frequently resort to re-export structures rather than direct export to Russia.This is primarily driven by corporate concerns regarding potential sanctions exposure, as well as reputational risk within the European market. Its key advantages include higher profitability (elimination of intermediaries), broader customer reach, and reduced legal and operational risk.

Direct Export to Russia

There is no inherent risk in direct export in this context, as it remains a standard form of international trade with Russia, provided that the following conditions are properly met. It’s important to understand that the goods almost always become more expensive. Each step in the chain adds:

Profitability

Your product will be ~25% cheaper by direct export (no cost erosion via intermediaries (Kazakhstan/Turkey))

Delivery period

14 days instead of 21–45 days by re-export 

Risk Level

Low by direct export and hight High by re-export (approx. 30% payment blockage risk)

Operational Control

You know your customers and future of your brand/ goods and very limited control by reexport 

As a result, the final price can increase by 10–40% or more, depending on the complexity of the route and the type of product. For exporting directly to the Russian customers you just have to see if:

• Sanctions and export control verification
  That your product is not listed under applicable EU sanctions regimes and does not fall within dual-use restrictions under the latest sanctions packages.

• Customer due diligence
  Prior to contract execution, a full corporate profile of the Russian customer should be obtained, including beneficial ownership and management structure. In practice, sanctioned entities and individuals are limited in scope and are typically identified through standard compliance and customs screening systems.

• Proper documentation
  Accurate and complete documentation must be maintained at all times, including correct HS code classification, precise product descriptions, and all supporting trade documents. Documentation errors remain the primary cause of shipment delays and regulatory blocks. For example, misclassification of HS codes may result in penalties of up to €40,000, in addition to potential confiscation of goods.

Such errors do not necessarily exclude a company from trade flows; however, they may lead to delays, additional inspections, or import penalties.

Re-export to Russia

Re-export to Russia as an alternative to direct export is legally permissible only in narrowly defined circumstances:

Defective / non-compliant goods

Goods returned to supplier within <1 year, unused (eg, China → RU → China)

Triangular trade arrangements

Russian intermediary resells goods to a third country upon instruction (eg, Japan → RU → India)

Import irregularities

Goods imported in breach of regulations and re-exported within 1 year (eg Irregular import → legal re-export)

Humanitarian exemptions 

State hospitals in Russia, strictly humanitarian medical use, case-by-case authorization (eg Medical equipment for hospitals)

Pre-existing contracts

Agreements signed before 19 Dec 2023 (Transitional regime ended Dec 2024; “No Russia” clause now required)

Examples of re-export, when it''s needed:

Example 1:
The company could not complete the import documentation (no import permit was obtained; the goods did not pass certification or did not meet phytosanitary requirements).
Result: The goods had to be sent back to the supplier.

Example 2:
The supplier imported a batch of goods, but defects were discovered. The re-export procedure was used to return the defective goods.
Result: The goods were returned to the supplier.

Example 3:
The supplier imported goods that did not meet the customer’s requirements (wrong size, wrong color, wrong model). The goods were placed under the re-export procedure to return them.
Result: The goods were shipped back.

Recent analysis indicates that re-export has evolved from a “grey-zone mechanism” into a structured, multi-layered trade architecture. 

Accordingly, it is generally the preferred model.

Where direct sale is possible → it should be preferred.

For non-sanctioned goods, re-export is legally permissible but economically inefficient.

For all non-sanctioned goods, direct export is:

legally compliant

more cost-efficient

faster in execution

operationally more controllable

                ec.europa.eu, Eurostat trade, Russian customs data, ucsol.ru, 

commission.europa.eu, eur-lex.europa.eu, finance.ec.europa.eu, customssupport.com, business.gov.nl, sanctionsmap.eu

Despite sanctions and major shifts in supply chains, the export of construction products to Russia has not disappeared; instead, it has redistributed from Western Europe toward “friendly” and neutral countries, especially Turkey, Kazakhstan, China and Central Asia.

At the same time, Russia’s domestic construction sector remains structurally strong and investment‑active, which creates a persistent demand window for high‑value niche materials, equipment and technologies. This situation opens several positive arguments in favour of maintaining or expanding export to Russia, especially for mid‑size and technology‑oriented exporters.

Main exporting products and demand

1. Still‑growing domestic construction activity

   • Even under sanctions, Russian construction has been one of the few sectors that continued to grow in 2024–2025, supported by state‑driven infrastructure and housing programmes

   • Large‑scale projects (roads, housing clusters, technical infrastructure, logistics hubs) require imported materials and equipment that domestic industry cannot fully cover, especially in high‑end segments (insulation, special‑purpose windows, energy‑efficient systems, automation).

2. Shift of import flows from “unfriendly” to neutral countries

   • After cuts in direct EU supplies, Russian importers have actively built alternative channels through Turkey, Kazakhstan, Central Asia and China, often using these countries as legal and logistics intermediaries.

   • This creates an opportunity for construction exporters to use compliant, third‑party‑based schemes without directly violating EU‑level export‑control rules, especially where goods are not explicitly prohibited.

3. Stable demand for high‑value specialty products

   • Many Russian clients still seek imported solutions for quality, durability and compliance with international standards (e.g., insulation materials, façade systems, glass, plumbing, HVAC equipment, smart building components).

   • Sanctions‑related substitution has led to shortages or lower quality in some segments, which makes premium‑positioned foreign products particularly attractive in the premium and export‑oriented construction projects.

4. Adapted logistics and local‑partner ecosystems

   • Russian logistics operators and building‑material distributors have re‑oriented towards rail‑ and road‑based routes from Turkey, Central Asia and Kazakhstan, which now offer relatively stable transit windows and established customs‑handling workflows for construction cargo.

   • This reduces many of the earlier “hard” barriers related to direct shipments from EU territory and allows exporters to work through experienced local and regional partners.

5. Long‑term potential and re‑entry option

   • Analysts and industry players in Russia increasingly talk about the long‑term “return‑path” of foreign brands once geopolitical and sanction regimes ease, especially in construction where brands and specifications play a key role.

   • Companies that maintain a presence (even via indirect channels) can position themselves as “first‑choice” suppliers when the environment normalises, whereas purely Western‑branded products that disappear fully risk permanent replacement.

Examples of large Russian construction‑related importers

Several large Russian enterprises and state‑related entities continue to import construction materials, components and equipment on a significant scale, often via third‑country suppliers or specialised importers. Typical examples include:

• “АРКТИК СПГ 2” (LLC)
  A major project‑company in the Yamalo‑Nenets Autonomous District, involved in large‑scale LNG and infrastructure construction; works intensively with imported engineering and prefabricated structural components.

• “СНФС (ЭЛОС)” (LLC)
  Another large‑scale industrial‑construction importer, historically active in prefabricated construction structures and heavy‑industrial building solutions.

• Large highway and infrastructure contractors
  State‑owned and state‑supported construction groups implementing federal road and infrastructure programmes often import specialized equipment, modular systems and advanced materials (e.g., road‑marking machines, precast concrete technology, insulation packages), usually via importers based in Kazakhstan, Turkey or China.

• Major private developers and housing groups
  Large national residential developers continue to selectively import façade systems, window blocks, interior finishing elements and building‑automation equipment, frequently through importers and general‑contractors that combine several EU‑style technologies.

These companies illustrate that, even in a sanctions‑constrained environment, demand for European‑style quality and technological solutions in construction remains alive, and export via compliant, third‑country‑oriented channels can be both commercially viable and strategically promising in 2024–2025.

Based on the results of 2024–2025, Russia remains a relevant, although no longer a primary, market for Belgium due to the declining share of the EU in Russia’s overall imports. In 2025, the EU accounted for approximately 7.4% of Russia’s total foreign trade turnover, while imports from EU countries were estimated at around 34 billion USD.

Despite the overall downward trend, exports of food ingredients and specialty products from Belgium remain competitive and in demand, especially in the segment of processed and semi-processed ingredients.

Thickeners and stabilizers

The Russian market for thickeners and stabilizers in 2025 is estimated at around 1,100 tons per year, with 60–70% of supply being imported, including from EU countries.

Emulsifiers and stabilizers for the bakery and confectionery industry

According to Russian industry estimates, imports of emulsifiers and stabilizers in 2024–2025 are valued at approximately 100–150 million USD annually, with the EU accounting for around 40–50% of total supply.

Spices, flavorings, and food industry blends

Based on industry data, Russia imports on average 150–200 million USD per year of spice blends, flavorings, and specialized food formulations, including aromatic compounds and recipe-based ingredient systems.

Raw materials for confectionery and bakery industries (excluding chocolate)

• Sugar and syrups: In 2024, Russia imported around 400,000 tons of sugar and glucose/fructose syrups from abroad, including EU countries.

• Starches and modified starches: Total imports are estimated at 50,000–70,000 tons per year, with 30–40% coming from the EU.

Coffee and coffee-related products

Over the past 20 years, coffee consumption in Russia has increased elevenfold. In 2024–2025, total coffee imports are estimated at 160,000–180,000 tons annually, with a market value of around 3–4 billion USD per year.

Belgium supplies not only finished coffee products but also aromatic blends and coffee-related formulations. The Belgian share in EU coffee exports to Russia is estimated at around 2–5%.

Syrups and beverage flavor systems

Imports of concentrates and syrups for soft drinks and coffee-based beverages are estimated at 200–300 million USD per year, with the EU accounting for 30–40%. Belgium’s share in this segment is estimated at 3–7%.

Functional and “health-oriented” ingredients (protein, gluten-free, premixes)

The total import volume of functional and premium ingredients in Russia in 2024–2025 is estimated at 400–600 million USD. This includes protein concentrates, gluten-free ingredients, and vitamin-mineral premixes.

The EU accounts for around 20–30% of this segment, while Belgium represents approximately 5–10% of EU supply.

Vitamin and mineral premixes

According to FEEDLOT and related sources, Russia imported about 23,700 tons of feed vitamins in 2024. Food-grade vitamins also represent a significant import segment, estimated at 10–15% of the feed volume (around 2,000–3,500 tons).

Belgium’s share in this segment is estimated at 5–10% of EU supply.

Key market trends

Shift toward smaller but more stable contracts
Instead of large annual contracts, the market is increasingly moving toward smaller, seasonal, or project-based shipments. This makes exact volume tracking more complex but helps maintain continuous presence of Belgian ingredients in the market.

Growing demand for “clean label” and natural ingredients

 In 2024–2025, the Russian market shows increasing demand for natural thickeners, stabilizers, cocoa-based ingredients, and flavor systems. This aligns well with Belgian suppliers, who are already strong in high-quality, technologically advanced ingredient solutions.

In 2024–2025, exports of ingredients from Belgium to Russia continue, but in a restructured form: smaller volumes, more diversified supply chains, and higher sensitivity to political and logistical factors. Nevertheless, the segment remains attractive for both sides, particularly in niche and high-value ingredient categories.

This clause  Related regulation: Article 12g of EU Council Regulation 833/2014 has become a key compliance tool for EU exporters operating in international markets. It formalizes existing best practices and turns them into a legal requirement for certain categories of goods.

Article 12g is designed to prevent the circumvention of EU export restrictions, particularly in cases where goods are exported to third countries and then re-exported to Russia. While many EU companies previously used “no re-export” clauses as part of standard due diligence, this is now a legal obligation for specific sensitive goods.

The core idea is to block the scheme “EU → third country → Russia” and shift responsibility to the EU exporter.

How it works in practice

EU exporters are required to include a contractual clause explicitly prohibiting re-export to Russia in agreements related to export, sale, supply, or transfer of goods.

This requirement applies only to certain sensitive categories, including:
aviation-related goods, aviation fuel, firearms and related items, and high-priority goods (often dual-use or critical components).

If a non-EU partner refuses to include or accept the “no re-export to Russia” clause, the EU exporter must not proceed with the transaction.

Additional requirements

The clause must include enforceable provisions such as liability for breach, penalties, and legal remedies. This strengthens legal protection and creates a deterrent effect for third-country partners.

Even beyond Article 12g, companies are expected to maintain strong compliance frameworks, including customer screening, supply chain monitoring, and contractual safeguards. The EU specifically recommends prohibiting resale to Russia or Belarus and restricting onward sales to partners who may enable re-export, with clear liability in case of violation.

Exporters must include the clause before or at the time of the transaction and be able to demonstrate compliance to authorities. If a breach or circumvention is identified, the exporter is required to inform the relevant national authority.

Article 12g marks a shift from recommended practice to a binding legal requirement. Responsibility now lies not only with the buyer, but also with the EU exporter.

Previously: “We hope the goods will not end up in Russia.”
Now: “We are legally required to prevent this and ensure it does not happen.”

In conclusion, the “no re-export to Russia” clause is not just a contractual formality but a critical compliance mechanism, reinforcing the role of EU exporters in enforcing sanctions and maintaining transparent supply chains.

Over the past decade, I’ve seen clear differences in how the business mindset works in Russia compared to Belgium, and how both are gradually evolving.

Management style

In Russia, business structures are still quite hierarchical. Decisions are often made at the top, especially in more traditional or large companies. This usually comes from the need to stay in control in a more unpredictable environment.

In Belgium, the approach is generally more open and flat. Employees are often involved in discussions, and decisions tend to be made through consultation and consensus rather than strict top-down instructions. 

Trust and business relationships

In Russia, personal relationships still play a very strong role. Trust is often built between individuals first, and formal contracts come second. Business is frequently based on networks and long-term personal connections.

In Belgium, it’s more structured and rule-based. Contracts, procedures, and legal frameworks are the foundation of business. There is a strong emphasis on transparency and institutional trust.

Speed and flexibility

Russia is generally much more flexible and fast-moving in decision-making. People are used to adapting quickly to changes and finding practical solutions, even in uncertain situations.

Belgium is more structured and predictable. Processes take more time, but they are usually well-defined and stable, especially because of strict EU regulations and internal compliance standards.

Key changes in Russia over the last 10 years

Over the last decade, several shifts have become visible:

• Strong growth of digitalization in business

• More focus on efficiency, KPIs, and measurable performance

• Gradual move from relationship-based business toward more results-driven approaches

• At the same time, large companies and the state still remain very influential in many sectors

Main difference in simple terms

Russia: flexibility, personal relationships, and high adaptability in uncertain conditions
Belgium: structure, rules, and strong institutional trust

Practical takeaway

In Eastern European markets, deals tend to happen faster and relationships are built more quickly, but long-term predictability can be more challenging.

In Belgium and the EU, the process is slower and more structured, but also significantly more stable and legally secure.

3 things you should do before exporting to Russia

• Negotiate with the customer, who of you will be applicant (and thus the owner) of Russian certificates.

• Put labels in Russian language on your products, according the Russian regulations. European labels are not valid

• Adjust your export documentation (like invoice, packing list) according to Russian customs rules.

New identification marks

Additionally, the mandatory labeling (labels with unique tracking code) will be obliged for each SalesUnit. This is the special marking, containing the unique tracking code, should be placed on each sold unit.

This is the pilot (T&T) project, a few sectors have been initiated for testing and implementation of the new system: pharmaceuticals and tobacco products,  garments, shoes, perfume, car wheels, etc. to follow.

It's considered that the Russian manufacturer or importer (distributor) will be considered responsible for the labeling of the shoe but until now the full procedure isn't clear and not described by authorities.

Advantages of the new identification marks

• Tracking codes are to enhance quality control and put in place protection against fake and counterfeit products like medicine, tobacco, shoes, textile and clothes, camera’s, tiers etc.

• Also this is a traceability mechanism, allowing to monitor the movement of goods from the moment they are imported or produced until they are purchased or consumed. Currently grey import of some products accounts till 70%.

Which products need this identification mark?

• Tobacco products, was introduced on March 1, 2019

• From 1 July 2019: shoes.

• From 1 December 2019: perfume, tires, leather clothing, shirts and blouses for women and girls, coats and outdoor jackets, bed linen and tablecloths, cameras (except video cameras) and camera flashes.

Regulation on the single mark for products turnover in the market of the Customs union member-states and its usage.

EAC mark in Russia - Belorussia - Kazakhstan-Armenia

If you are going to export to Russia, you need to comply with a wide range of complex certification systems and national standards. Russian organizations and export-companies cannot work with non-certified products.

After obtaining obligatory EAC certificate you are able to place the EAC mark on each Sales Unit. EAC certificates will be valid in all the countries of Customs Union: Russia, Belarus, Armenia and Kazakhstan.

More info:

The Customs Union Commission has approved by its Decision from 15.07.2011 No.711 The Graphic representation of the single mark and "Regulation on the single mark for products turnover in the market of the Customs union member-states and its usage".

The meaning of the single mark for products turnover is very important. When there is a single mark on the label or in the following documentation, it means, that the product is

• high quality,

• has been moped through all procedures of the conformity assessment (attestation),

• established by the Customs union technical regulations,

• meet all requirements of the Customs union technical regulations applicable to these products.

The manufacturers may use the single mark, after the quality of their production will be confirmed by the documents on the researches. The single mark has to be in one colour, not smaller that 5mm and be well recognized and precisely applied on the contrasting surfach.

Source: GOST R

After a few years of exporting to Russia turnover's curve stagnates, sales volume aren't so promising anymore and many business processes stay unclear. This is the moment when European exporter needs to research what's the problem and get advice how to optimize the current business model and make more business (video explanation is coming soon).

Optimization of your export business can increase your business volume, bring transparency in business processes and give understanding of market situation:

1. Increase profits: optimization in marketing mix (price, promotion and place) will raise revenues and cut per-unit cost.

2. Brand building: Making products available in more locations will raise consumer awareness.

The second critical point, when the sales volume in Russia are high enough but business development is blocking by different bureaucratic barriers and long delivery procedure from Europe. Mostly companies research situation again, then open branch/ daughter company in Russia and launch production lines in Russia. This intermediate evaluation and optimizations are crucial for export oriented companies.

We are fully engaged in Russian business and will check from inside how your business in going, observe the activities of different market players, analyze opportunities and work on improvement of your business model. The most crucial stay: clear business strategy, local focus and good control.

Meetings with or without How much vodka you should drink to start business in Russia?

Vodka was a part of “business” culture in ‘90s, when European businessman was almost obliged to consume alcohol before signing a contract. This was not (only) for the nice pastime, but it had a strong social context: a sign of hospitality and invitation to more open, friendly communication.

Vodka and business in 2020

Time changes and the manners evaluate.

Sometimes Russian business-partner still can offer you water, coffee and short drank during the meeting. It happen mostly by the companies with local business, and never by internationally oriented companies.

Generally vodka isn’t a symbol of successful negotiation anymore. Your explanation and polite refusal will be respected.

How to negotiate without drinking vodka

Nevertheless the social aspect if this tradition remains strong: trust, personal sympathy and easiness of your negotiation go before the deal.

So, stay open during your negotiation, show yourself as positive and helpful partner, try to be a real sincere person. You can tell the examples from your private life, catching stories with your other customers, difficulties of your company which brought to the great success.

Russian customer needs to see real person with strong company behind, but not company with a person behind.

A couple of rules if you consume vodka

• Don’t consume same volume of alcohol as your Russian partners. You were trained on parties to drink beer and wine, not with vodka. They say that small dose of nicotine can kill the horse, not a man: so, affordable dose of vodka for Russian can kill European.

• Strange, that Europeans measure Vodka in liters, Russians measure it in grams.

• Always eat a lot fatty food. It you deal with vodka – no time for diet.

• Be sincere when you raise a glass and say the toast. To say "For your health" of "For partnership" sounds  too impersonal.  By wishing something, tell your story: about your impression by the first meeting of the customer, or about great characteristics of Russian mentality…

• Know your limits, think of your reputation and business meetings tomorrow.

• If you are woman, or your are dealing with woman: it’s not appropriate to order a strong drank.

According to the Word Bank, Russia is not the easiest country to invest , you can compare it with the country tensions/easiness like France or Spain.

Russia stays also very attractive destination for investors and businessmen in terms of consumption power and grow potential.  

Ease of doing business Russia in 2019

Russia, India and China—improved their average ease of doing business.

This year Russia took 38th place in the ranking: it’s not the easiest country to business with, but it stays very attractive destination for investors and businessmen in terms of consumption power and grow potential.

Foreign investors put up capital in 238 projects in 2017 – a record number for Russia since the launch of this survey of EY in 2010.

China became the leader by the number of FDI projects for the first time, with Japan and South Korea also among Russia’s top 10 investors.

Manufacturing is the leading industry. Manufacturing was the sector boasting the largest number of FDI projects.

The regions are becoming increasingly attractive to investors – rising FDI flows channeled to Tatarstan, Bashkortostan, Primorsky Krai, Lipetsk and Belgorod oblasts.

According to research of EY  foreign investors put up capital in a record number of projects in Russia in 2017 – 238, which was 33 projects more than the year before. This represents 16% growth, a striking improvement compared with only 2% growth in 2016.

Like in 2016, foreign investors focused on the construction of new manufacturing facilities in Russia (202 projects), rather than business expansion (36 projects).

Regions becoming increasingly attractive to investors

Moscow and Moscow Oblast remained the most attractive to investors in 2017, with 54 projects here (2016: 49). In 2017 a s ignificant number of those projects (10) comprised investments in the pharmaceuticals industry. The leader in investing in the Moscow region was Germany (10 projects) followed by China (six projects). US and Swiss companies invested in four projects each.

St. Petersburg and Leningrad Oblast are number two with 17 FDI projects vs. 15 projects in 2016. Of those, Finnish investors finance three projects. German, Israeli and US companies support two projects each.

Prospects

The Russian economy is on the road to recovery, aided by oil and rouble stabilisation. 2018 also proved a positive year with several rating agencies, including S&P Global, strengthening their outlook on sovereign credit for Russia. This is evidence that the country is on a stable footing and primed for foreign investment.

Russia has already ridden out the worst of the impact of the recent sanctions and, as these continue to ease, it will stimulate capital flow to both the real economy and financial markets.

By the end of the 2020 many Russian publicly traded companies will finish investment programs and enter the stage of >10% free cash flow yield. Already high dividends are projected to increase substantially up to double digit yields for the majority of stocks.

About the Work Bank report

World Bank  ranked 190 countries how easy is to do business there, taking into account 11 different factors including:

• corruption,

• freedom (personal, trade, and monetary),

• workforce,

• investor protection,

• infrastructure,

• taxes,

• quality of life,

• red tape,

• technological readiness.

Sources: EY, Worlkbank, KPMG

Deelname aan de beurs in Rusland blijft één van de meest efficiënte marketing tools omwille van de grote geografische spreiding van de potentiële klanten en de grote informatieve beperking in de kleinere regio’s.

Rusland organiseert ongeveer 1.400 beurzen per jaar, die gezamenlijk 1.500.000 mensen trekken. Circa 55% van de beurzen vinden plaats in Moskou en Sint-Petersburg. Denk ook over de andere 13 Russische grote steden in industriële regio’s van het land, waar belangrijke industriële en commerciële beurzen plaats vinden.

De prijs van deelname verschilt van de grootte en strategisch belang van het evenement. De prijs van de bekendste grootste beurzen stemt overeen met de prijs van de grote Europese beurzen.

U zal nood hebben aan de vertaler tijdens het opstellen van de stand en communicatie met de bezoekers. Russen spreken meestal geen andere talen, zo moet de design en leaflets in het Russisch vertaald worden.

Which investments companies made in Russia

Investor profile: Nestle SA24 March 2016

Nestle does not plan to give up investing in the Russian market, and expects the resumption of economic growth in Russia. This was announced at a TASS press conference by the head of the Russia-Eurasia region (CIS countries plus Mongolia) of Nestle Maurizio Patarnello.

"We are focused on growth in Russia. We do not want to reduce our investments and we intend to continue our development in Russia,” - said Patarnello.

Investor profile : Valio02 March 2016

On the 2nd of March, the official opening ceremony of a new Viola cheese spread production line took place at Valio plant in Ershovo. The investment cost reached 2 million Euros.

According to Valio representatives, the company will continue its active development at the Russian market of dairy products. Mika Koskinen, Executive Vise-President and a board member of Valio Oy (Finland), said: "We, Valio, see Russia as a very important market. We are ready to do the best for Russia".

In 2016, it is also planned to launch a sliced cheese manufacturing line, which will allow the plant to offer complete assortment of Valio cheese in Russia.

Investor profile: PfizerFebruary 2016

Pfizer, an American pharmaceutical company, will start production in St. Petersburg in partnership with Polisan, a Russian R&D pharmaceutical company (NTFF Polisan). The parties will sign an agreement in the end of January, a source familiar with the situation told TASS News Agency

Investor profile: DSM Nutritional ProductsFebruary 2016

Moscow City Government is negotiating with Campina to expand manufacturing capacities in the Greater Moscow Area.

Additionally, Dutch pharma company DSM is currently looking into the options of starting its own R&D centre in Moscow Region.

Investor profile: Groupe Danone18 February 2016

The French company Danone has invested over 500,000 euros to upgrade its milk factory in Vladimir in 2014-2015. Reconstruction of the milk receiving has station helped increase milk reception from one to four tanks.

Investor profile: IKEA International A/SMarch 2016

Floor area of Mega Khimki shopping centre will grow by 50%. IKEA Centres Russia is also planning to invest in the expansion and renovation of Mega Teply Stan shopping centre, which is expected to almost double in size.

Investor profile: Snabpolymer Medicine March 2016

The first in Russia plant to manufacture syringes of the next generation will be built near Nizhny Novgorod. Snabpolymer Medicine, a Russian and Chinese joint company, has selected a site near Nizhny Novgorod to build a plant to manufacture medical supplies, including syringes of the third generation, impossible for reuse. The project investment cost will reach 1.3 billion rubles.

 Investor profile BASF AG 19 September 2014

RusVinyl is one of the largest PVC producers in Russia of caustic soda. RusVinyl is a joint venture between SIBUR, Russia's leading gas processing and petrochemical company, and SolVin, and was created to construct a new PVC production site that could meet a significant part of domestic demand. SolVin is jointly owned by Solvay (75%) and BASF (25%).

In 2013, PVC consumption in Russia exceeded 1 mt, of which only 0.6 mt was produced locally**. RusVinyl will provide its top-quality products to the under supplied Russian market and aims to further develop downstream operations and consumption of petrochemicals.

Sources: Investinrussia, TASS

Foodservice was one of the most vulnerable sectors during the former Russian crisis, nevertheless this sector grew  with 2% in 2016.

Key findings

• Food service sector had difficult period in 2015 and 1st quarter of 2016: about 30% of enterprises were on the bankruptcy level

• The market volume in 2016 was 17,5 bln euro and began grow  from  2nd quarter.  The total market grow in 2016 was 2%.

• There are about 176.500 catering facilities in Russia, most of them are located in Moscow and St Petersburg

• Fast food takes about 29% of the total catering market share, 25% of the market is for "street food", 19% - restaurants, 14% are café’s and confectioneries, 7% is ‘take away’ segment and 6% is fast casual segment (fast service and affordable prices)

• The most popular and growing local foodservice chains are Pel'mennaya Dyuzhina, Shokoladnitsa, Coffe House, Blinoff, Planeta Sushi, Kroshka-Kartoshka etc. They are popular with their assortment of dishes and affordable prices.

• Large foreign horeca chains are also very popular in Russia  (McDonalds, Subway, Burger King, KFC, PizzaHut, Cinnabon, Starbucks).

• 70-85% of the products in restaurants are from the local producers. 85% of McDonalds (450 restaurants) products are from the local farmers

• There are about 200 chain restaurants in Russia

• 4 of 100 best restaurants in the world are Russian

Tendencies

• HoReCa segment will grow till 2,5-5% in 2017

• Main factors of this grow is the re-distribution of costs by the Russian consumer: limitation or refusal of the holiday trips (big short expenses) in favor of more affordable expenses (restaurants, outing). This means that the average bill amount and the number of visits to the café’s and restaurants will increase.

• The most rapid developing sectors in Russia are the café’s, fast casual and fast food chains, but also drive throw, food court, catering

• Family cafe is a very new and interesting segment in Russia

• Eco fast food and healthy menus are the open niche with a huge potential

• The main investment growth will happen to the segment of small café’s (up to 150 sq.m) and the lower price segment like fast food.

Sources: RBK, Discovery Research Group, Businessstat

Total Russian import volume in 2016 was 172,9 bln Euro, 50% of this import volume were of machinery and equipment. All types of machinery are in import demand in Russia.

Key findings

• The country policy of import substitution is not affecting the market of machines and equipment. Furthermore, the import regulation is softer for the high-tech equipment and parts which are not produced by domestic manufacturers.

• As Russian government promotes the local production, many Russian and European companies are investing in modernization of the modern production lines, therefore is the higher demand.

• Many small and medium companies, especially starting producers, buy second hand equipment.

Import

• Imported machine tools and equipment dominate on the Russian market and will remain profitable.

• 50,2% of all imported volume to Russia in 2016 was machinery and equipment, this is 4,2% more than in 2015. Import volume in currency terms grew with 5,4%.

• Foreign producers supplied 87% of rolling equipment, 87% of food processing equipment 84% of continuous casting machines, and 70% of press-forging equipment etc.

• Belgium is the 3th main suppliers of machinery and equipment (HS code group 84) to Yamalo-Nenets region (one of the main mining Russian regions).

Promotion

• The best prospects for sales are the processing, grinding machines, machining centers, lathes, drilling, milling machines, honing, lapping and polishing machines, laser processing machines, gear-cutting machines, presses, bending, beveling and straightening machines.

• The most common selling manner to Russia are direct sales to the end user, sales via a representative / trading  offices in Russia.

• Key for success for business are permanent contact with the clients, customer relations, Russian speaking specialists, translated and certified documents.

Sources: Rosagromash, ria, Rosstat, rzd

In terms of innovation, Russia is in the top 15 of global economies (namely 12th), outpacing Austria, Norway, Belgium, the UK and China, according to the 2016 Bloomberg Innovation Index.

The index scored economies using factors including research and development spending and concentration of high-tech public companies. Russia took the leading position in terms of researcher concentration. According to the Index, South Korea is the world’s most innovative economy. It is followed by Germany, Sweden, Japan and Switzerland.

Six of the top 10 economies are in Europe, and three in Asia. Belgium takes the 16th place in the world.

"If you're a really innovative economy, everything else equal, you're going to tend to have higher productivity growth, and that goes hand-in-hand with rising living standards over time," said Jay Bryson, global economist at Wells Fargo Securities in Charlotte, North Carolina. "The pie expands for everyone."

In Russia are 2639 malls in 309 cities with a total sales area of ​​40.9 million square meters

 2426 malls are open in the country, 104 malls are under construction and 99 malls are projected. The remaining projects are frozen or closed. 

 Moscow and the Moscow region occupy the leading positions in the number of open and projected shopping centers.  The total population of Moscow region amounts 18.3 million people (12.5% of the total Russian Federation population) account for 15% of the open shopping centers, 16% of the molls under construction and 55% of the projected shopping centers.  

This statistic displays the number of retail chains by sector in Russia in the year 2018. Fashion and clothing was the leading sector, with 59 chains out of the total of 223, followed by footwear and leather and food, each with 29 retail chains. Home ware ranked fourth, standing at 20 chains, whereas there were no retail chains registered for car parts and accessories in Russia in 2017.

Confessionary market is one of the most traditional and classic segments in Russia. Nevertheless, there is the growing demand for new tastes and forms, thanks to big supply and marketing actions of foreign producers.

Key Findings

• There is no official statistics yet for 2016 but the experts note the market decrease with 5%.

• Cookies and biscuits are the 2nd popular cathergory after chocolate. In Kazakhstan and Belorussia it is sugar confectionery.

• Belgian products like speculoos and waffles have growing popularity but still quite limited offer..

• The biggest retail chains keep the imported cookies and biscuits in the assortment, like Auchan ~8%, Dixy ~7%.

Import

• The biggest importing countries in 2015 were Germany (12%), Italy, Poland, China. Ukraine took the 2nd place in the list of importing countries till 2014.

• The products in premium segment are mostly imported. Import volume of cookies and biscuits took 7-8% of the total market volume and was 71 K ton or $173 KK (jan-sept 2016). Import from Belgium was about 3 K ton or $11 KK.

Promotion

• Most foreign companies penetrate the market through the local dealer(s). The big international confessionary producers have braches and manufactures in Russia (Mars, Nestle..)

• The main exhibitions in this sector are Productexpo and Worldfood in Moscow.

Despite the former negative political and economic factors, foreign retailers were still interested in Russian market. Companies adapted to the turbulent market environment and enlarged their business in 2015 and 2016.  Furthermore, about 40 new international retailers entered the Russian market last year.

Key findings

• Russia is the leading country in Europe in terms of amount shoppig malls (>20.000.000 m2).  40% of them were built in Moscow region in 2016.

• Despite the economic factors and country risks 40 international retailers (as ASUS Republic of Gamers, Mafrat, Malo, Orient, Seiko, Tchibo, Wrangle etc) entered the Russian market in 2015

New Stores in Russia in 2016

• New retail chains prefered to open their first stores in the big shopping centres (40% of all new stores), and in the most popular shopping streets (20% of stores).

• 11 international retailers left the Russian market, also Stockmann, Camaieu, Lindex and Rockport.

• The following chains expressed the ambition to enter Russian market in near future: John Varvatos, Kidzania, Superdry, Tallinder, Victoria’s Secret Pink.

Entertainment services in the shopping malls is the one of the most trendy components to to attract new consumers. New entertainment concepts are coming. Unusual formats (farmers markets, dancing studios, art galleries, interactive theatres) are developing fast.

Our team is looking for the suppliers of retail products for it's development in Russian market. 

Catch the business opportunity and grow your business with the escalating stream of the Russian online development.

Russia has been catching up rapidly over the past few years. Online shopping has already become a rather common method of consuming for active.

• Russia ranks sixth among in the world in terms of online population, ahead of Germany, the U.K. and France.

• The most attractive market for online retail sales

• 60 000 000 Internet users in Russia

• 11 000 000 000 euro: online-purchases in 2015

• 30 000 000 online shoppers

• + 25% is the grow of online transactions each year

• + 31% is annual grow of Online Shops

• One of the highest potential for online sales growth in the world

• Prices of Online advancement are cost efficient for European companies

KupiVip, Russia’s leading fashion flash sales site, has reported a 50% growth rate in 2015

The fastest-growing categories: sport, children, pet goods, leisure items, clothing and footwear, groceries

Foreign retailers’ online sales of physical goods to Russia have grown considerably over the past few years.