Ukraine monitor lists PepsiCo, Mars as 'international sponsors of war'

By Al Mayadeen English
Source: Agencies
1 Sep 2023 18:38

In March 2022, PepsiCo and Mars announced that they would suspend their business operations in Russia, including advertising, investment activities, and production.

A row of 2 liter Pepsi Cola line a shelf at a Publix Supermarket, Monday, Feb. 8, 2021 in Miami (AP)

The National Agency on Corruption Prevention (NACP), Ukraine's anti-corruption watchdog, has added PepsiCo and Mars, two major US-based food corporations, to its list of "international sponsors of the war".

The NACP alleges that the companies are continuing to operate in Russia, despite the ongoing conflict in Ukraine.

In March 2022, PepsiCo and Mars announced that they would suspend their business operations in Russia, including advertising, investment activities, and production.

"The National Agency on Corruption Prevention (NACP) has included two leading food corporations, PepsiCo and Mars, on the list of international sponsors of the war. Despite the declaration of reduction of their business, cessation of advertising activities, and production of their products, they continue to work in the Russian Federation, paying significant taxes to its budget, thereby supporting the economy of the aggressor country," the agency said in a statement.

In the first year of the Russian invasion of Ukraine, PepsiCo's net profits increased by 333% to $525 million, while Mars' revenue increased by 59%. The watchdog alleged that the companies paid over $200 million in taxes in Russia during this time.

The NACP in Ukraine has added several international businesses to its list of "international war sponsors" this summer.

The list includes the world's major tobacco companies, Philip Morris International and Japan Tobacco International, the Chinese commerce platform Alibaba Group, the UAE port operator DP World, and one of the world's largest FMCG companies, Unilever.

These companies have been included on the list because they are still operating in Russia or cooperating with the country's state corporations, despite the ongoing conflict in Ukraine.