The UK’s Trade Minister has issued a stark ultimatum to Mondelez International, the American confectionery giant that owns Cadbury, demanding an explanation for its continued operations in Russia. The move comes amid growing public and political pressure on multinationals to sever ties with the Kremlin following the invasion of Ukraine.
In a letter seen by this newspaper, the minister warned that the government is “deeply concerned” by Mondelez’s refusal to join the exodus of Western companies from Russia. The company, which also owns Oreo and Toblerone, has faced fierce criticism for maintaining its factories and supply chains in the country, where it continues to sell chocolate bars and biscuits.
Labour MP Sarah Jones, who has campaigned for a boycott of Mondelez products, said: “This is a moral test for the government. If they are serious about holding Putin’s regime to account, they cannot allow companies like Mondelez to profit from war.” The company has argued that leaving Russia would harm local workers and consumers, but critics dismiss this as a flimsy excuse for profit-seeking.
For workers in Britain, the news stirs mixed feelings. At the Cadbury factory in Bournville, Birmingham, employees are proud of their brand but troubled by its parent’s choices. “We’re not responsible for what Mondelez does overseas, but it leaves a bad taste,” said one worker, who asked not to be named. “People ask me at the pub: ‘Why is my chocolate funding the Russian army?’ I don’t have an answer.”
The government’s intervention follows a wave of resignations by companies like McDonald’s and Starbucks, who pulled out of Russia soon after the war began. Mondelez, by contrast, has become a symbol of corporate intransigence. The company’s CEO has previously stated that Russia represents a “long-term opportunity” and that exiting would be a “lose-lose” for all parties.
But that stance is increasingly untenable. The Trade Minister’s letter, which has not been made public, is understood to warn of “reputational damage” and potential trade repercussions if Mondelez does not change course. The UK government has already imposed sanctions on hundreds of Russian entities and individuals, and is under pressure to target Western companies that still do business there.
Meanwhile, union leaders have called for a boycott of Mondelez products. Unite the Union, which represents some Cadbury workers, said: “This is about solidarity with Ukrainian workers and the fight for democracy. No chocolate is worth that.” The GMB union went further, demanding that the government consider a ban on imports of Mondelez products made in Russia.
For ordinary families, the issue is caught between conscience and cost. With bread and milk prices soaring, many shoppers are reluctant to add a luxury like chocolate to their boycott list. “I can’t afford to be choosy right now,” said a mother of two in Sheffield. “But if the government says stop buying KitKats, I’ll listen.”
Mondelez has not yet responded to the minister’s letter, but sources close to the company suggest it will resist pressure. The company’s board is believed to view Russia as a key emerging market, and its products remain widely available in stores across the country. For the UK government, the challenge is to translate diplomatic demands into concrete action without harming British jobs or trade relations.
The clock is ticking. If Mondelez fails to provide a satisfactory explanation, the government may be forced to consider tougher measures, including naming and shaming in Parliament or urging pension funds to divest. For now, the world watches to see whether the lure of profit or the weight of moral outrage will tip the scales.
