Labeling Milestones: Russia Expands Digital Marking for Alcohol and Beverages

No time to read?
Get a summary

In the next five years, digital markings are expected to appear on every second cash receipt. This development aims to curb the circulation of illegal products in Russia, a trend that has already shown declines across several product categories. The forecast was shared with socialbites.ca by Dmitry Afanasyev, who serves as the director of products for the mass market at Platform OFD, commenting on the planned labeling for beer and low‑alcohol beverages beginning October 1.

Afanasyev noted that today about a quarter of cash register receipts in retail already carry digital marking codes. He added that the use of electronic document flow among market participants is on track to grow significantly. While the current volume stands at 2.3 billion documents, it could surpass 10 billion documents within two to three years. A key driver behind this expansion is the adoption of digital signage, which connects labeling to broader data exchange and inventory management processes.

The expert indicated that the labeling infrastructure has reached a state of readiness and is functioning effectively in another set of sixteen product groups. He further explained that the labeling system for beer and low‑alcohol products has already attracted around nine thousand participants who are actively testing or utilizing the system. This broad participation supports the ongoing rollout and helps build confidence among manufacturers and importers about the benefits and practicalities of labeling at scale.

Through the labeling initiative, Afanasyev observed a measurable reduction in illegal products across multiple categories, with decreases ranging from two to three times and, in certain product groups, larger declines. The enforcement advantages come not only from tracing each product through its lifecycle but also from improved transparency in distribution and easier detection of counterfeit items at various points in the supply chain.

Starting October 1, the labeling of beer and low‑alcohol beverages packaged in glass or polymer containers will become mandatory in Russia. The policy initially targets manufacturers and importers, who will need to register within the Honest Sign system and begin applying unique codes to bottles and other packaging. The obligation to transfer labeling data to the Chestny Znak system for retail trade and HoReCa sectors takes effect in January 2024, including bottles kept in barrels. Beginning in June of the following year, entities that sell beer and low‑alcohol beverages will be required to report information about labeling codes through tills, OFD, and EDI channels to ensure comprehensive traceability throughout the distribution chain.

Additionally, the Ministry of Finance of the Russian Federation has discussed plans to expand the labeling regime to imported alcohol. This broader approach would further strengthen oversight, enabling authorities to track product movement from importation through end sale and consumption. The cumulative impact of these steps is intended to enhance consumer safety, support fair competition among producers, and reduce losses from illicit products across the beverage sector.

No time to read?
Get a summary
Previous Article

Ibex 35 Opens Higher as ECB Policy Watch and Data Docket Shaped Sentiment

Next Article

Short bursts of activity reduce heart risks, study finds