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Nestlé to discontinue production of non-essential items in Russia

By Calley Hair
A Nestle board member speaks in front of Nestle's logo during the general meeting of the world's biggest food and beverage company, Nestle Group, in Lausanne, Switzerland, on April 6, 2017. File Photo by Laurent Gillieron/EPA
A Nestle board member speaks in front of Nestle's logo during the general meeting of the world's biggest food and beverage company, Nestle Group, in Lausanne, Switzerland, on April 6, 2017. File Photo by Laurent Gillieron/EPA

March 23 (UPI) -- Switzerland-based Nestlé will discontinue the production and sale of all non-essential products in Russia, the food giant announced on Wednesday, halting operations for brands in the country including Nesquik and Kit Kat.

"Our activities in Russia will focus on providing essential food, such as infant food and medical/hospital nutrition," the company said in a post to its website.

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"We have already halted non-essential imports and exports into and out of Russia, stopped all advertising and suspended all capital investment in the country."

The company announced earlier this week that it had ceased the import and export of non-essential goods, but added Wednesday that it would also halt local production. Nestlé will continue to produce a limited number of essential goods in Russia, including baby food and hospital nutrition products.

Any profit generated in Russia will be donated to humanitarian relief organizations, Nestlé stated.

"This approach is in line with our purpose and values. It upholds the principle of ensuring the basic right to food," the company said.

Nestlé's announcement came a few days after Ukrainian President Vlodomyr Zelensky publicly criticized the company for its continued ties to Russia.

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"'Good food. Good life.' This is the slogan of Nestlé. Your company that refuses to leave Russia," Zelensky said Saturday during an address to the people of Switzerland, CNN Business reports.

"Even now -- when there are threats from Russia to other European countries. Not only to us. When there is even nuclear blackmail from Russia."

Zelensky's comments echoed a tweet from Ukrainian Prime Minister Denys Shmyhal last week, who said after a conversation with CEO Mark Schneider that Schneider showed "no understanding" about the side effects of remaining in the Russian market.

"Paying taxes to the budget of a terrorist country means killing defenseless children & mothers. Hope that Nestlé will change its mind soon," Shmyhal wrote.

Last year Nestlé did more than $1.8 million in sales in Russia, The Guardian reports.

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