Coordinator: Foreign Firms Starting To Avoid Serbian Suppliers

Belgrade panorama (BETAPHOTO/PETAR VUJANIC)

The coordinator of the Network for Business Support to Companies, Dragoljub Rajic, stated on Oct. 5 that foreign companies were beginning to avoid suppliers from Serbia, even when their prices are lower that others', because of trouble they could encounter due to Serbia's refusal to introduce sanctions against Russia over its aggression on Ukraine.

He said that companies participating in the recent fairs around the world had complained about foreign firms beginning to prefer suppliers from European countries, even when their products are more expensive than those of Serbian companies. "It was observed at recent agricultural fairs that foreign clients had started to shun Serbian companies, because they view the country as one that is politically undetermined between the two world blocs regarding the war in Ukraine," Rajic told BETA.

He went on to say that companies from Bulgaria and Romania, which are both EU members, were filling the gap that has opened due to such developments, without risking to come under sanctions themselves since they were committed to the Union.

He said that investors were heeding the recommendations of their governments, which was obvious when foreign companies withdrew from Russia. In his words, the biggest number of investors in Serbia were from Europe, most of the money is coming from their funds, and foreign policy determination is important in that regard.