McCain scraps Russia factory amid growing corporate backlash
Canadian french-fry maker also suspends all shipments of its products to Russia
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McCain Foods Ltd. is abandoning its half-built factory in Russia as part of a global corporate backlash against the invasion of Ukraine.
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The frozen french-fry company, based in Florenceville, N.B., has been pausing construction since Feb. 24, the first day of the invasion. On Thursday, the company said it has decided to “discontinue the project entirely.” McCain is also suspending all shipments of its products to Russia.
Last spring, McCain announced it was building a potato processing facility in Russia “after 20 years of importing” its products into the country from its other European factories. At the time, McCain said it was investing 150 million euros in the plant in the Tula Oblast region south of Moscow. It was expected to bring 200 jobs.
A spokesperson confirmed by email that the project was in “the early phases of construction.”
“The Russian invasion of Ukraine has been deeply concerning to all of us at McCain Foods,” the company said in a statement. “We are always guided in these decisions by the ethics and perspective of being a family-owned business from New Brunswick.”
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McCain’s decision to stop shipping products to Russia is part of a rapidly growing corporate boycott, which as of this week included McDonald’s Corp., PepsiCo Inc., and Starbucks Corp.
Burger King, owned by Toronto-based Restaurant Brands International Inc., said Thursday it has suspended all corporate support to the franchisee that runs its Russian locations.
“The company has committed to redirecting any profits from franchised operations to humanitarian aid for Ukrainian refugees,” RBI said in a statement, adding that it has made a $1 million donation to the UNHCR and is working with local NGOs to hand out $2 million in free Whopper meal vouchers to Ukrainian refugees.
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