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Auchan Russia Hit With Sales Restriction

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Auchan Russia Hit With Sales Restriction

Auchan’s troubled expansion into Russia has encountered a new setback in the form of a restrictions on the sale of products that are "bulk and not pre-packaged,” themoscowtimes.com reports.

The decision, which was reached by a Moscow court, follows an investigation carried out by consumer rights group Rospotrebnadzor, which alleged the French company was in breach of certain sanitary regulations.

Auchan appealed the decision, but was forced to pay a fine of 25 million roubles ($390,000).

The ban extends to semi-processed vegetables and meat, frozen shrimp, dumplings, as well as confectionery, biscuits, tea and nuts.

Previously, Rosselkhoznadzor, Russia’s agricultural watchdog, accused Auchan of breaking rules regarding the storage and processing of meat.

© 2015 European Supermarket Magazine – your source for the latest retail news. Article by Peter Donnelly. To subscribe to ESM: The European Supermarket Magazine, click here.

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