
By John Helmer, Moscow
Alcoholics have ruled Russia in the past, but for the first time in Russian history a producer of alcohol, a winemaker, is running for president in the March election.
Boris Titov, owner of Abrau-Durso whose shares are listed on the Moscow stock exchange, is careful to avoid speaking to the voters about what he knows best. If elected president, is Titov intending to make alcohol cheaper, or more expensive, he was asked ahead of the launch of his campaign last month. Does he propose to raise or lower the price of beer, wine and vodka by increasing or cutting state excise taxes?
Titov replied through a spokesman: “He will not discuss alcohol taxes. There are no plans concerning alcohol regulation in his programme.” Supporting him, and one of the advisors to Titov’s “Party of Growth”, is Alexander Mechetin, owner of the Beluga vodka brand, and one of the four vodka oligarchs who dominate the Russian vodka market (lead image, 1st left; to right, Rustam Tariko; Andrei Strelets; Vasily Anisimov).
The reason for their sensitivity isn’t political. On current polling of Russian voter choice, Titov will be lucky to draw one percent of the vote on March 18. There isn’t a temperance constituency in Russia to appeal to. Promising heavier taxes on alcohol will upset poor drinkers, hurt legal producers, and encourage an increase in the tax-evading trade in samogon (moonshine) and alcohol substitutes, which cause alcohol poisoning. Titov and Mechetin, like the other commercial alcohol producers, as well as the Republic of Tatarstan, currently the biggest volume producer of vodka in the country, say they want the alcohol market to stabilize at the current level of tax, while they produce and sell more alcohol domestically, as well as to the international vodka market. They are looking to the federal government to use police methods to crack down on illegal, untaxed alcohol plants, while motivating regions like Tartarstan to deter the illegal trade by keeping in the region as much of the tax as they can collect.
Titov the winemaker isn’t going to spill the vodka bottle. Nor will any other candidate for the Russian presidency. (more…)
by Editor - Monday, January 15th, 2018
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