Mandatory "Russian Shelf" to Appear on Russian Marketplaces

According to the author of the bill, State Duma deputy Tatyana Butskaya, starting March 1, 2024, the first 50 product cards in the search results of all online stores must be given to Russian brands owned by Russian citizens

In Russia, starting March 1, 2024, all online stores will be required to establish a "Russian shelf" to develop domestic production and strengthen the economy. This measure will come into force if the corresponding bill from State Duma deputy Tatyana Butskaya, developed with the support of the Ministry of Industry and Trade, is adopted.

The document, which will affect thousands of entrepreneurs and ordinary buyers, has already been submitted to the government for approval.

According to "Izvestia", starting March 1, 2024, all goods will be divided into domestic and foreign. Domestic goods are goods of brands owned by citizens of the Russian Federation and produced on the territory of the Russian Federation. It is noted that only Russians or Belarusians can be the owners of factories producing "Russian" products.

Online stores will have to give the first 50 product cards in the search results to goods of brands recognized as "Russian". For regular trade, the percentage of domestic products on the shelves must be at least 50%. Rospotrebnadzor will monitor the implementation of the law, and the Ministry of Industry and Trade will determine the overall share of Russian products.

The explanatory note to the bill notes that Russian brands with great potential – household chemicals, cosmetics, perfumes, hygiene products – are currently underrepresented in retail and online commerce. The Russian buyer knows little about them and chooses foreign brands or brands that became domestic after foreign companies left Russia and may return under the control of "mother" companies at any time, which dominate the shelves and online stores. As a result, domestic factories are operating under capacity, and production cannot develop.

If Russian manufacturers receive priority on store shelves and marketplaces, they will begin to invest in expanding production, in new product lines, and in new personnel. Production will become cheaper, goods will become better, there will be more jobs, and manufacturers will have the opportunity to develop potential not only within the country, but also for export.