Risk of Embargoes on, Difficulty Sourcing, and Price Increases for Russian Seafood Due to the Russia-Ukraine Conflict
First written in FY2022. 1 of 3 entries say "Materialised", first in FY2023-Q1. Latest entry: FY2024.
0 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「While closely monitoring developments in the conflict, our group will maintain appropriate procurement and inventory levels suited to conditions and continue collecting and selling substitute products, including those sourced domestically and internationally, in an effort to mitigate the impact as much as possible.」
The company has specified its response to the risks associated with Russian seafood and import costs by maintaining appropriate inventory levels and collecting and selling substitute products sourced domestically and internationally. - FY2023-Q1MaterialisedAnnual report
「Uncertainty going forward is increasing due to higher fish prices resulting from stalled imports of Russian seafood amid the Ukraine crisis, as well as higher transportation costs resulting from surging resource prices.」
Regarding Russian seafood, which was identified in FY2022 as a risk that included potential future developments, the company explains that higher fish prices resulting from stalled imports actually occurred as part of the business environment during the current quarter. - FY2022First statedAnnual report
「Our group purchases a certain volume of Russian seafood and holds inventory. Depending on developments in the Russia-Ukraine conflict (the "conflict") going forward, an embargo on Russian seafood may be imposed, and some business partners may restrict their handling of Russian seafood. In addition, because seafood is currently imported from Europe via routes that detour around Russian airspace, costs have increased, resulting in higher purchase prices.」
The company has for the first time identified its company-specific exposure from purchasing and holding inventory of Russian seafood as a standalone risk. It explains that higher costs from detour routes and higher purchase prices have already occurred, while a potential embargo, trading restrictions, higher prices and shortages of substitute products are presented as possible future developments.