"The Russian boycott won't stop this year"

Partners Network from Nunspeet has been active in the export of meat, fish and poultry to Asia, Africa, Russia, the Ukraine and Central Asian countries for years. The importer and exporter has been spreading its wings into the fruit and vegetable section since 2014. During Fruit Logistica we spoke to Erik Frens about the opportunities and threats on the Russian market. "This boycott won't stop this year."

Although Partners Network is a large player on the Russian market, it doesn't want to be too dependent on Russia. "Various fruit and vegetable exporters made this mistake. We will never get more than 50% of our turnover from Russia. Russians are emotional buyers. And nationalism is bred into them, which has only increased since the boycott. They are now enjoying that role and it is viewed as betrayal if people buy import product when there is local product available. They are emotional buyers and players on the international markets, and this is why price logic is sometimes hard to find."

Erik Frens and his colleague during Fruit Logistica

In the area of fruit and vegetables, Partners Network mainly sells citrus from Argentina and South Africa and bananas from Ecuador, Costa Rica and Colombia. The company sells the fruit in Russia, Kazakhstan and Kyrgyzstan to supermarkets, wholesalers and fruit shops. "The fruit stalls want quality. Supermarkets will accept a lower quality. After the boycott the volume of domestic product has only increased. The competition is reducing and people are prepared to pay a relatively high price for a lower quality."

Putin has said he wants the country to be self sufficient in food in 2020. "This will certainly work with pork and poultry meat. Fruit and vegetables are more difficult, but with the low energy prices they will go far. The condition is that the consumer has to remain prepared to pay a higher price for local products and be satisfied if the product isn't available."

Yet Partners Network does see a role for itself on the Russian market for now. "It won't be easy if you still have to start up that trade, but we have years of experience on the Russian market with our team. And the Russians appreciate the Dutch direct mentality. We have built up a good reputation for hard work and are prepared to solve problems, for instance in the case of claims," concludes Erik.

For more information:
Erik Frens
Partners Network
Laan 21
8071 JG Nunspeet
Mob: 0031 (0) 6-53509299
e.frens@partnersnetwork.com
www.partnersnetwork.com