Russia-Ukraine war latest: at least two killed and 20 injured after missile strike hits busy shopping centre in Kremenchuk

Reuters has a couple of stories on how western retailers withdrawing from Russia due to the Ukraine conflict is impacting consumers and the fashion industry.

Scores of Western designer labels have quit Russia as part of a backlash against Moscow’s decision to send troops into Ukraine, leaving their domestic competitors to take centre-stage.

At the annual Moscow Fashion Week, which showcases the work of Russian designers, industry professionals said seizing that opportunity would not be easy.

Yulia Lavrichenko, a fashion stylist taking part in the event last week, said:

We need to develop the production of fabrics because our fabrics and accessories are all imported.

Unfortunately, our designers are suffering from this for the time being.

Even Russian couturiers rely heavily on Italy to provide the exclusive materials that go into clothing their wealthy clientele.

While China, Bangladesh, Belarus and Turkey all continue to provide mass-market clothes and materials to Russia, Italy is taking part in European Union sanctions that make trade at the luxury end very difficult.

Olga Sinitsyna, whose brand SCORA designs hats and accessories, said her business was just emerging from the shock of the pandemic when Russia’s military campaign began, sending the rouble tumbling and import prices skyrocketing.

The rouble has since bounced back, “but logistics are 10 times more expensive”, she said, adding that she had been left with no choice but to increase her prices.

She said:

You have to understand that everything you see here is not made from Russian raw materials.

This, of course, affects the cost … But here the choice is either you do it – or you cry and do nothing. I choose to do it.

Meanwhile, shoppers were greeted with empty shelves and prices discounted by as much as 70% at visited Decathlon stores in Russia over the weekend before the French sports equipment retailer closed its stores on Monday, hampered by supply constraints.

Scores of western brands have left Russia following a backlash against its military incursion into Ukraine, with McDonald’s, Ikea and Renault among the more high-profile. Others have reported struggles with logistics and supply chains amid western economic and financial sanctions.