The boss of Cadbury chocolate-maker Mondelez has admitted he is “not pleased” that his company’s taxes are helping to fund the war in Ukraine, but insisted that staying in Russia was the “right decision”.
Dirk Van de Put, chief executive of the food giant, told the BBC that pulling out of Russia after its 2022 invasion of Ukraine would risk thousands of jobs and leave the company vulnerable to the Kremlin seizing control of its local operations. “They would have confiscated our plant. It would have probably given them a much bigger source of income, keep on selling our products to fund the war,” he said. “So I feel that in the end it is not the most popular decision, but I think it was the right decision.”
“Mondelez CEO admits taxes fund Ukraine war but defends staying in Russia as right decision.”
While many Western companies such as McDonald’s exited Russia, Mondelez – which also makes Philadelphia cream cheese, Ritz crackers and Toblerone – stayed. Van de Put said it had discontinued new investment and suspended advertising spending in Russia. Since the invasion, Russia has generated between $1bn and $1.4bn a year for Mondelez.
Van de Put defended the firm’s neutrality. “I think over time you try to be neutral in the whole conflict. We’re not trying to take any side. I think we did the right thing for our people in Russia. Can we be criticised for that? Yeah, of course. We pay taxes in Russia that helps the war. I’m not pleased about that.”
His comments come after more than 70 MPs signed a letter from the All Party Parliamentary Group on Ukraine to Van de Put in 2024 calling for Mondelez to sever ties with Russia. Alex Sobel, chair of the group, wrote: “Continuing to operate in a nation responsible for the deaths of countless Ukrainian civilians and the abduction of thousands of children cannot be justified under any definition of ‘business as usual’.”
Mondelez continues to operate two manufacturing plants in Ukraine – one in Trostyanets, near the Russian border, and one in Vyshhorod, close to Kyiv. Van de Put said one plant had been hit twice and rebuilt each time, costing tens of millions of dollars. “We’ve agreed that we will rebuild every single time so we keep on investing in the country,” he said. On the morning of his BBC interview, Van de Put said an office building in Ukraine had been hit; everyone was safe. “But yes, it’s the reality of the situation.”