According to the Russian newspaper ‘Kommersant’, a new large producer of french fries is making plans to enter Russia. The Canadian company McCain Foods created a structure for the construction of a plant in the Uzlovaya special economic zone (SEZ) in the Tula region and is already working on a project.
Local production of french fries is financially interesting due to the low prices for potatoes in the Russian Federation and it will reduce transportation costs.
That McCain is starting the construction of its first plant for the production of french fries in the Russian Federation became clear as a result of their entry in the register.
In June McCain Foods Holland B.V. and McCain Europa BV established McCain Foods Rus LLC in the city of Uzlovaya, Tula Region, whose activities include the production of finished products and dishes, and the processing of potatoes.
A source in the market confirmed that McCain working on a project of a plant for the production of french fries, which is supposed to be placed in the SEZ ‘Uzlovaya’. Among the conditions for investors are zero import duty and VAT rate until 2065, and the first ten years, the income tax rate is 2%.
The European office of McCain Foods did not react to a request for a response. The Development Corporation of the Tula region said that they could not yet disclose information about the project