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Finland President Heads to Russia to Meet Putin; Phone Rings in Switzerland Over Cheese

Published: August 15, 2014
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In a welcome development (except for warmongers and sanction lovers) Kremlin news reports President of Finland to Visit Russia on a Working Visit.

The Heads of State will discuss the state and prospects of bilateral cooperation between Russia and Finland. Have in mind to pay attention and international issues. Among the issues - promoting peaceful settlement of acute political crisis in Ukraine deal with the humanitarian disaster.
Apparently Finland has decided its "small price" is too large. This is a step in the right direction. Hopefully all the sanctions collapse in a month or two with president Obama and senator McCain caught in the "fool's spotlight".

Don't like the source? Hey, we all know Russia never tells the truth. So please instead consider this Finnish translation:Niinistö Will Meet Putin
Finnish and Russian presidents will meet on Friday in Sochi in Russia. President of the Republic Niinistö says the press conference held today, Thursday, at 14.
Statement From Warmongers United

Reliable sources inform me that Warmongers United issued this statement: "It's obvious both sides are lying. There is no meeting. And we all know war is peace, sanctions are strength, and talk is ridiculous."

Sorry. No link available.

Phone Rings in Switzerland Over Cheese

In the sanctions winners and losers category, a clear winner has emerged. The Sydney Morning Herald reports Cheese-loving Russians turn to Emmental as Swiss dodge embargo
At Intercheese AG's headquarters in Switzerland, the phone barely stops ringing these days. A Russian voice is usually at the other end.

Since August 7, when Vladimir Putin's government banned many food imports from nations supporting sanctions due to Russia's role in the Ukraine crisis, at least 14 Russian importers have contacted Intercheese. The reason for the surge in business: Switzerland hasn't joined the European Union, the US, Canada, Australia and Norway in penalizing Russia.

"Russian importers are looking for the cheeses they can't get from the Europeans anymore -- Mozzarella, Gouda and Edam," said Daniel Daetwyler, managing director at Intercheese. The Swiss company sold as much as 20 tons of cheese to Russia in 2013 and will increase sales to the country of the varieties most affected by the EU embargo, even though it won't be able to meet the demand, Daetwyler said.

Border guards in Russia and Belarus turned back trucks loaded with cheese, yogurt and meat, officials from Lithuania and Estonia said last week. The euro area exported more than 292,000 tons of dairy products to Russia last year, with the Netherlands providing almost a quarter, followed by Germany and France, according to Eurostat.

"Swiss businesses are going to profit from the embargo," David Escher, director of Swiss Cheese Marketing, said in an interview. "If there is a new market and there is new demand, it could be interesting for Switzerland, which clearly has an advantage as it can continue to export. It will take some time to estimate to which extent."

For Andrey Danilenko, head of the National Milk Producers' Union in Moscow, Swiss cheese producers could become a stand-in for those in the European Union.

"Imports of Swiss cheese to Russia may rise manifold," Danilenko said. "Switzerland may replace exclusive cheeses earlier shipped from other EU countries. Previously, a lot of cheese was imported from the Baltic states and Poland, which it couldn't compete with due to higher logistics costs."
Hopefully Finland sees the light just as Slovakia has. Earlier today the prime minister of Slovakia was fed up with "small prices" and issued this common-sense statement "We Can’t Sacrifice Our Interests in the Name of Some Duel"

All that needed now to defeat Warmongers United is a statement by Russia that natural gas will not be shut off, but rather prices will triple if sanctions are not removed in one week.

Mike "Mish" Shedlock is a registered investment advisor representative for SitkaPacific Capital Management. Sitka Pacific is an asset management firm whose goal is strong performance and low volatility, regardless of market direction. Visit http://www.sitkapacific.com/account_management.html to learn more about wealth management and capital preservation strategies of Sitka Pacific.

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