August 28 2006, 16:03

METRO Group is very optimistic about opportunities in Russia

In the most recent press-release METRO Group announced its ambitious plans of developing its retail market in Russia. In 2006 along the group is planning to open around 15 new locations, including "Media Markt", "Metro Cash & Carry" and "Real". Of eight new Metro Cash and Carry stores six will be located in cities where the company is not yet represented.

"Our expansion to Russia is characterized by entrepreneurial, pioneering spirit and calculated courage. This strategy has proven to be successful: In just five years METRO Group has risen to the top of the Russian retail sector", said Dr. Hans-Joachim Korber, CEO of the METRO Group. In fiscal 2005, METRO Group achieved a rise in sales of around 66 percent to nearly € 1.5 billion in Russia.

"We are very positive about our future business development in Russia. I am convinced that Russia can rise to the group of the top five countries in terms of sales volume and significance in the international portfolio of the METRO Group already in the medium term", stressed Dr. Korber.

According to the Group, logistics and procurement remain among the major challenges in Russia. "The problem of procurement and logistics is especially significant for the Fresh Produce Departments of all supermarket chains in Russia", says Andriy Yarmak, deputy director of Agricultural Marketing Project, which has been trying to help retail chains organize stable supply of high quality fruits and vegetables year around. That's why the program of the First international conference Fruit & Vegetable Business of Russia 2006 has a large section devoted to specifics of cooperation between supermarket chains in Russia and suppliers of fresh and processed fruits & vegetables. There will also be a devoted time when participants of the conference will be able to meet with Fresh Produce Sections' buyers of all key supermarket chains and discuss business opportunities.

METRO Group in 2005 reached sales of € 55.7 billion and operates more than 2,100 outlets in 30 countries. The operating business is performed by the sales brands which operate independently in the market: Metro/Makro Cash & Carry, Real hypermarkets and Extra supermarkets, Media Markt and Saturn and Galeria Kaufhof department stores.