Phantom factories will be identified by geolocation and disconnected from "Chestny Znak" labeling codes

94% of companies from the pilot check did not confirm the presence of real production in Russia

The Russian government is launching a mechanism for digital market cleanup from phantom manufacturers. As reported by the press service of the Center for Research in Perspective Technologies (CRPT), the basis for this was a decree signed by Prime Minister Mikhail Mishustin.

The document introduces mandatory monitoring of market participants through the state labeling system "Chestny Znak", its core being the Data Matrix digital code technology. Each legal product receives a unique code, allowing tracking of the entire chain – from the conveyor to the cash register. A company that fails to prove the existence of a real production site will lose the right to receive such codes and will not be able to legally put products into circulation.

The check will be two-stage. At the registration stage, a new manufacturer is obliged to confirm the presence of a workshop through a special mobile application: upload photo and video materials with mandatory fixation of geolocation and shooting time. If suspicions arise, an inspection team will visit the site. It checks for the presence of specialized equipment, personnel, warehouse stocks, and verifies addresses with the data specified in the documents on product compliance with technical regulations.

The pilot experiment has already yielded results: out of 297 companies in the light industry, footwear, and dietary supplements segments that were monitored, 94% did not confirm the existence of production. The declared addresses contained vacant lots, hotels, and residential buildings.

Manufacturers of light industry goods, footwear, perfumes, tires, and dietary supplements are the first to fall under the new rules. Subsequently, the list will be expanded to include cameras, bicycles, radio electronics, motor oils, building materials, fur coats, cosmetics, household chemicals, razors, and antiseptics.

In fact, the government is blocking the main channel for legalizing gray imports, depriving shadow players of the opportunity to mimic a domestic manufacturer for market preferences.

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Sources:
Tass Agency

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