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There Is Something Georgian In Armenian Cognac

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  • There Is Something Georgian In Armenian Cognac

    THERE IS SOMETHING GEORGIAN IN ARMENIAN COGNAC

    Kommersant, Russia
    Aug. 9, 2006

    The wholesale license of P.R. Rus, Russia's subsidiary of French
    Pernod Ricard, has been suspended, the Moscow branch of Federal
    Service on Consumer Rights Supervision reported via the web-site
    yesterday. P.R. Rus is an exclusive supplier of product made at
    Yerevan Cognac Enterprise and for a few other world brands of alcohol.

    The Moscow Service on Consumer Rights Supervision carried out its
    probe in late July. The result was suspension of wholesale licenses
    for nine alcohol dealers, including P.R. Rus.

    The formal reason voiced by the supervision body was "the breach of
    sanitary laws." Employees of one of the affected firms, Vitaveritas,
    said the inspectors leeched as the warehouse director had no
    photofluorogram available, the mops weren't numbered and the walls
    weren't painted.

    By strange coincidence, all punished companies used to be big importers
    of wine of Georgia and Moldova. Pernod Ricard, for instance, owns
    Cahetian GWS winery, which was focused on Russia's deliveries. Besides,
    Vitaveritas was the sole wholesaler that proved through the court
    that the Federal Service on Consumer Rights Supervision had no right
    to confiscate and destroy the wine owned by it.

    For P.R. Rus, the root problem could be its leading standing on
    Russia's market of elite alcohol. In terms of value, Business-Analitika
    says, Pernod Ricard covers around 22 percent of the whisky market,
    has roughly 12.5 percent on the brandy market and 12 percent on the
    market of French cognac. The share on tequila market nears 40 percent.

    Moreover, P.R. Rus is an exclusive supplier of product made by Yerevan
    Cognac Enterprise, which is owned by Pernod Ricard. The company
    controls 55 percent of Armenian cognac market in Russia. More likely
    than not, all these achievements prompted the bureaucrats to benefit
    from the import alcohol crisis and attempt to squeeze even such majors
    as Pernod Ricard.
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