Nestle suspends trade on entire product range in Azerbaijan, cites 'supply problems'

Nevin Barich

LOS ANGELES , March 7, 2012 (Industry Intelligence) – Citing supply problems, Nestle SA confirmed that it has ceased trading its entire product range in Azerbaijan, Confectionary News reported March 7.

Nestle Rossiya LLC corporate communications manager Marina Zibareva said that the company would resume deliveries to Azerbaijan as soon as possible.

In Azerbaijan, the Nestle stock that is currently in trade would be sufficient to cover demand for several months, Zibareva added.

Zibareva said that Nestle will continue trading with other countries in the Commonwealth of Independent States.

National press reports have suggested that the move was prompted by evidence of systematic corruption on the part of Azerbaijan’s custom authorities and Aylin, Nestlé’s supply company, that was uncovered in Nestle’s regional audit.

Nestle ships products into Azerbaijan, which local distributors then supply to the market, as it does not have any factories in the country.

Beyond indicating that Nestle has not set a date for when it will resume delivery, Zibareva indicated that, at the present time, the company had no further comments on the matter.

The primary source of this article is Confectionary News, Montpellier, France, on March 7, 2012.

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