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Afshan Niyaz and Enam Nabi Siddiqui mark the start of new Era in Horticulture with Kirchhoff Research Award-2015 in Horticulture
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Modern retail groups now have a 53 per cent market share, according to data from Russia’s State Statistics Service, pulling ahead of the combined might of traditional retailers such as ’mom and pop’ convenience stories, with 32 per cent, and kiosks and open markets, with 15 per cent.
Their rise has been meteoric. Russian government member told reporters the cabinet decided that any food production in the country will completely exclude any genetically-modified organisms or parts thereof.
“As far as genetically-modified organisms are concerned, we have made decision not to use any GMO in food productions,” Deputy PM Arkady Dvorkovich said at an international conference on biotechnology in the Russian city of Kirov.
At the same time the official emphasized that there was a very clear line between this decision and the development of science, medicine and some other branches.
“This is not a simple issue, we must do very thorough work on division on these spheres and form a legal base on this foundation,” he said. In 2006, modern retailers had a combined share of just 21 per cent of the food market (the world’s eighth largest with revenues of $311bn in 2013), a figure that has risen by 4 percentage points a year since.
Even in Poland, another former communist country dominated by state stores, their penetration has risen to 72 per cent. Further growth could be painful for the informal sector, however. So far, rising prosperity has allowed traditional stores, street kiosks and open markets to increase sales even as their market share has fallen. According to official statistics the share of GMO in the Russian food industry has declined from 12 percent to just 0.01 percent over the past 10 years, and currently there are just 57 registered food products containing GMO in the country. The law ordering obligatory state registration of GMO products that might contact with the environment will come into force in mid-2017. At present, the Russian food retail market also stands out for its lack of concentration. The top five players: Magnit, X5 Retail Group (which trades as Pyaterochka, Perekrestok and Karusel), Lenta, O’Key and Dixy Group, only have a market share of around 20 per cent.
In contrast, in Germany the top five account for 71 per cent of the market, in France 66 per cent and in Poland 46 per cent.
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