Controversy Surrounding Clothing Labeling Intensifies After MGU Research

2025-01-25 // SuperPodium
Disputes over clothing labeling have intensified following research conducted by MGU. Small and medium businesses (SMBs) continue to express concerns over the implementation and cost of labeling, while authorities and the labeling operator argue for its effectiveness in reducing counterfeit products in the market.

Starting from March 1st, according to Resolution No. 883 of the Russian Federation government, the list of light industry goods subject to mandatory labeling will be expanded. Gloves, underwear, and hosiery will now be included in the list, alongside footwear and outerwear.

Representatives of SMBs have repeatedly discussed the difficulties they have faced during previous stages of labeling. However, the government and the "Honest Sign" labeling operator have consistently emphasized the effectiveness of the system in reducing counterfeit goods.

In 2024, the Chairman of the Small Business Support Association, Yanina Tikhonova-Grishina, commissioned research from MGU on the impact of labeling on SMBs in the light industry. The results of this study were intended to be presented to entrepreneurs and government officials at a thematic conference. However, the university stated that the research was conducted by a private group of experts and should not be considered an official position of the university and faculty.

Sellers and producers of clothing in St. Petersburg have expressed widespread dissatisfaction with the labeling. According to MGU representatives, the estimates, forecasts, and recommendations have a probabilistic and hypothetical nature and require further investigation.

One of the most acute problems is the presence of unmarked goods in the market. Small shop owners are accustomed to purchasing such goods from wholesale markets, and the authorities argue that businesses should adapt and find alternative supply channels.

The director of the Department of Digital Labeling of Goods and Legalization of Product Circulation at the Russian Ministry of Industry and Trade, Vladislav Zaslavsky, has reported that 43.5 million violations were identified in the implementation of goods in the fashion industry in 2024. Around 1 million of these violations occurred in St. Petersburg.

According to the head of the Public Council at Rospotrebnadzor, Oleg Pavlov, the majority of violations are committed by individual entrepreneurs (IP), accounting for more than 85% of cases. Currently, there are almost 266,000 participants in the labeling system in the light industry, of which 82% are individual entrepreneurs. In St. Petersburg, IP account for 61% of participants.

The operator "Honest Sign" has developed support measures for entrepreneurs, including training and sending engineers across Russia to help businesses solve problems.

The conference discussed the difficulties that businesses have encountered in implementing labeling. Yanina Tikhonova-Grishina noted that representatives from "Honest Sign" and government structures were invited to participate in the conference.

The implementation costs associated with labeling have been a major concern for businesses. Owners have expressed frustration that they are expected to bear these costs themselves without receiving any compensation. The variety of organizations that continue to operate without labeling also raises questions about fair competition. Additionally, when a product is returned by a customer and not properly reflected in the "Honest Sign" system, it can create additional administrative burdens for businesses.

Store owner Ekaterina Kuzina estimated that the average expenses for implementing labeling in her business ranged from 50,000 to 250,000 rubles. She had difficulties setting up the system and experienced sales deviations on a daily basis. However, with the help of "Honest Sign" engineers, the issues were resolved in two hours. This process should not be a burden for millions of entrepreneurs, she argued.

Irina Mironova, the director of Lady Charm LLC, agreed that the costs of working with labeling are indeed high. She questioned why businesses are expected to bear these costs without receiving compensation and raised concerns about the lack of fair competition due to the presence of unmarked goods in the market.

2025-02-03
SuperPodium
Top 3 Crafting Trends for 2025: Relaxation Meets Sustainability
Discover the top crafting trends of 2025, blending creativity, mental wellness, and eco-consciousness.
2025-01-26
SuperPodium
Young Designers of Kalmykia Showcase Ethnic Collections
Youth designers from Kalmykia presented ethnic collections at the "New Names" competition, showcasing stylized outfits from local brands.
2025-01-24
SuperPodium
Robert De Niro as Former US President in "Zero Day" Series
Netflix releases official trailer for political thriller mini-series "Zero Day" starring Robert De Niro.
2025-01-27
SuperPodium
58% of Penza Region Residents Lead a Sports Lifestyle
More than 58% of residents of the Penza region lead a sports lifestyle. The goal is to reach 70% by 2030.
2025-01-18
SuperPodium
What is the "Slow" Lifestyle and How Can It Make You Happier
The concept of the "slow" lifestyle encourages us to take a step back, breathe deeply, and enjoy the beauty of life in its simplest forms.
2025-01-30
SuperPodium
Media Trends in Tatarstan: Challenges and Opportunities
Key trends in Tatarstan's media landscape: AI, trust issues, and content evolution.
2025-01-28
SuperPodium
Maria Grazia Chiuri's Minimalist Couture Vision
Maria Grazia Chiuri redefines elegance with a monochrome palette and playful silhouettes inspired by childhood.
2025-02-05
SuperPodium
Healthy Lifestyle Gains Popularity in Russia in 2024
6% more Russians embraced healthy living in 2024, with regional variations in adoption rates.
2025-02-01
SuperPodium
Magda Butrym Unveils Pre-Fall 2025 Campaign
Inspired by grunge icons, the collection blends elegance with cultural heritage.
2025-01-31
SuperPodium
Beige Trench Coat Reimagined: A Fashion Revolution
Designers reinvent the classic beige trench coat, showcasing its versatility in modern fashion.
2025-01-22
SuperPodium
Fire Breaks Out at a Shoe Factory in Kislovodsk
A fire broke out at a shoe factory in Kislovodsk, covering an area of 500 square meters. One person was injured in the incident.
2025-01-23
SuperPodium
Ice Cream Manicure: The Most Elegant and Versatile Nail Trend
Discover the trendy "ice cream" manicure and how to achieve the cold dessert effect on your nails.
2025-01-21
SuperPodium
Giorgio Armani Menswear Fall-Winter 2025 Collection: A Celebration of 50 Years
Discover the latest Giorgio Armani menswear collection for Fall-Winter 2025, as the legendary designer celebrates half a century of his empire.
2025-01-20
SuperPodium
Icon in Military ID Saves Soldier's Life
An icon of the Virgin Mary saved a soldier's life by stopping a bullet from entering his heart.
2025-02-04
SuperPodium
Explosion in Luxury Complex Injures Businessman
A grenade blast in a Moscow residential complex leaves five injured, including a clothing company founder.
2025-01-19
SuperPodium
Scientists Discover 13 New Species in Rainforest
Researchers have identified 13 previously unknown species in a rainforest expedition. The findings highlight the incredible biodiversity of the region.
2025-01-17
SuperPodium
Red September opens a new corner in Trend Island department store
Red September brand opens a new corner in Trend Island department store, showcasing models from their latest fall-winter collection.
2025-02-02
SuperPodium
Golden Glamour and Bold Statements at Paris Haute Couture Week
Highlights from Paris Haute Couture Week: golden trends, daring designs, and a touch of Russian flair.
2025-01-29
SuperPodium
Erdem and Barbour Launch Collaborative Outerwear Collection
Four jacket models in sand, olive, and floral prints blend practicality with femininity.