Oriflame Cosmetics Firm Expands into Russia and CIS - 12 March, 2003
Swedish cosmetics company Oriflame is preparing to make a decisive move East. According to Swedish business newspaper Dagens Industri, the company's management has decided to open its first factory in Russia, which will be built 20 kilometres from Moscow.
The factory is planned to open in 2005 and will cost the company almost USD 35 million. According to Oriflame's general director, the company is also planning to construct large warehouses for its products in Russia, Ukraine, Kazakhstan and other CIS countries.
Surprisingly, according to Dagens Industri's figures, Oriflame products are not very popular in Sweden itself. Of the company's total annual turnover of USD 550 million, only USD 11 million comes from the Swedish market.