The Rise of Parallel Import in Russia.

Monument to Peter I in Moscow, by Elisaveta Semasheva.

Russia’s conflict with Ukraine has led to the mass exodus of countless international brands. War is one of the most catastrophic events in human history and alters people’s way of life forever. The conflict between Russia and Ukraine changed the lives of many people. For some it is the horrifying circumstances of their home being under attack, for some who are further from it, it is the disappearance of certain products from availability. Obviously one is much more dire than the other, however both have the right to exist.

“I feel guilty complaining about meaningless things, like the fact that McDonald’s doesn’t taste the same and I can’t get the IKEA plastic baggies I like, but these are little constant reminders of how horrible and ridiculous the modern ways of war are.” – Maria Smirnova. 

Odintsovsky District, Russia, by Elisaveta Semasheva.

Several international firms withdrew their products from Russia after the creation of sanctions, leaving consumers searching for options. Amongst them are household names like Coca-Cola, Zara, and IKEA. All these companies, and many others, officially left Russia, only to come back another way. The geopolitical tensions became unbearable for them to withstand, along with the pressure of imposed sanctions from other organisations, however products from these companies are still available.

Trucks carrying Coca-Cola roll across the border into Russia, tourists return from abroad laden with Zara’s latest designs, and local online marketplaces snap up IKEA’s furniture stocks.” – Alexander Marrow. 

American Coca Cola vs. Russian “Добрый” Coca Cola by Elisaveta Semasheva. 

Parallel import and legal cross-border flows sustain the continued availability of these brands in Russia, proving that the sanctions aren’t working the way they’re meant to. Zara took notable steps in closing its operations in Russia but provided alternative means to obtain the company’s products, as it now operates under the name MAAG, and its products are no longer made in Armenia or Turkey, but Bangladesh and China. Zara is a highly popular brand, and its decision to leave Russia sent shockwaves worldwide, as it closed 502 of its stores in Russia and sold them to UAE-based Daher Group. Despite this move, small-scale imports and online sellers kept a steady flow of Zara’s products flowing into Russia. Other fast-fashion retailers followed Zara’s steps, sold their stores, and reopened under different names in Russia, only changing the place of production of their products. In doing so, Bershka became Ecru, Pull&Bear became DUB, and Stradivarius became Vilet.  

MAAG Top Identical to ZARA Top by Elisaveta Semasheva.

And official resellers under different names aren’t the only way sanctioned products are making it into Russia. Small-scale parallel import is even seen in individual people, as they leave Russia with empty suitcases, and come back with branded products either for personal use, or for unofficial reselling, whether that be to their friends and family, or through the use of social media like Telegram. Despite the sanctions, Zara is not the only brand that has sustained popularity in Russia.

IKEA also left Russia, but its consumers have found a way to access its products. IKEA sold its remaining stock to Yandex Market, allowing Russian consumers to still enjoy its products. Based on this, it is clear that practices like parallel imports enable people to import goods into their countries without the original company’s permission. Coca-Cola is another vital example of this issue. Coca-Cola ceased operations in Russia, but consumers can still buy their products. This availability stems from imports from Russia’s neighbouring countries, like Poland, Azerbaijan, Turkey, and others

Russian Version of McDonald’s “Вкусно и Точка” by Elisaveta Semasheva.

“It seemed scary at the start, thinking how we’ll be cut off from the rest of the world, stuck with only Russian-based production, but honestly, I think we’re doing quite well, now that we’ve had some practice.” – Julia Potapova. 

While the sanctions were made to harm Russia’s economy due to it being cut off from the surrounding world, Russia found a way to exist without outside help anymore, and didn’t end a bad end of the deal. The recreating of previously imported foreign products started off difficult, the quality wasn’t great and the taste wasn’t the same, however after two years, many products are now produced in Russia and aren’t any worse than the foreign ones people were once used to. The idea of sanctions on Russia didn’t work for long, as instead of destroying Russia’s economy, the sanctions actually stimulated it and actually raised it. Missed products started being made on the same level of quality, and actually cheaper than before. 

Soviet Ice Cream Shop in Tula by Elisaveta Semasheva / @nadvodoy_

Russia is such a massive country, that it has access to materials in a large area of the world, in different climates and altitudes. And while certain things will remain different for the foreseeable future, Russia has found a way to manage on its own. 

“We lived on our own once during the Soviet Union, I’m sure we can manage again. Russia is getting up from its knees on its own.” – Natalia Pazelskaya.

Tula at Night by Elisaveta Semasheva / @nadvodoy_

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