Latviski English По-русски
Ceturtdiena 19.10.2017 | Name days: Drosma, Drosmis, Elīna

MADARA Cosmetics: business fraudster image haunts the minds of many SRS officials

(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUEveryone should cooperate in order to create an environment in Latvia that motivates residents and businessmen to pay taxes and do their best to help develop the country economically. It is essential to help residents let go of the stereotype that all businessmen are fraudsters. This would only improve cooperation between Latvian entrepreneurs and the State Revenue Service, which is currently considered to be repressive and aggressive, said Director of MADARA Cosmetics Uldis Iltners and Board Chairwoman and author of products and brands Lotte Tisenkopfa-Iltnere in their interview to BNN.

What are the most important events to take place in your industry?

Demand for natural cosmetics continues to grow in Europe. For example, data of the German market suggest that turnover of traders who deal in natural cosmetics shows signs of growing. Unfortunately, this growth is made up of products manufactured by large cosmetics production enterprises. This also applies to products that are marketed as natural but nonetheless are synthetic and private labels (mostly in lower price category and with synthetic contents). This trend clearly shows that customers are prepared to buy safe and natural cosmetics. However, they lack the knowledge to be able to differentiate natural products from conventional ones. In spite of worldwide trends to choose ‘greener’ and more sustainable products, Europe’s cosmetics regulations, unlike its agriculture regulations, do not define words like natural, biological and ecological in terms of contents. The only way to differentiate natural cosmetics from conventional is the presence of special certificates (ECOCERT and Soil Association).

The trends that demonstrate the application of cosmetics around the world and customers habits often change manufacturers’ assortment of goods. The most notable trend of multi-functionality, which came from Asia, has created new categories of products. In response, MADARA produced DAILY DEFENCE – multi-functional protective and nourishing balsam that can be used for eight different purposes.

Beauty bloggers have started playing a major role in consumers’ choice of products. They can easily inform buyers about the latest trends and products a lot faster than traditional media and beauty magazines. It should be said that numbers of Latvian beauty bloggers continue to grow. In Finland, Denmark and Germany, many bloggers have developed strong opinions people listen to. In Finland, MADARA launched cooperation with a leading beauty and natural lifestyle blogger-journalist-book writer Noora Shingler when launching MADARA BY NOORA SHINGLER line of products there in 2013.

There are also some strong growth indexes in Asian markets and internet space in Europe. Both continue to grow progressively in comparison with the slightly stagnating retail trade. It is noted in some countries, but not all. There are some changes in Latvia, but nothing significant. Northern Europe balances between development and recession.

How would you describe the government’s economy policy in its attempts to improve the economic situation in the country?

We praise our country’s and European Union’s support for the Chemical industry expertise centre, which allows the increase of competitiveness through the introduction of new technologies and resulting production of innovative products on the market. We also praise the programme for investment products with high added value.

How is your business impacted by Latvia’s policy? What changes would you like to see in Latvia’s legislation? What contributes to your business? What complicates things for you?

I would like for us, together with the country, to create an environment in which resident and businessmen would be motivated to pay taxes and develop the country together. In order to achieve this, the government, businessmen and municipalities have to work more professionally, more effectively and more transparently so that businessmen and residents have no doubts about where their taxes are used. Corruption, unprofessionalism and ulterior motivation need to be pushed out of municipal and state governments. The government and residents have to believe – businessmen are not fraudsters. Businessmen sacrifice their energy to bring their vision to life, create jobs and make money. This is admirable and should be welcome by the state, because they are the ones who form the country’s future economic development. Businessmen should not be automatically branded as fraudsters who only wish to steal from the state. The belief that all businessmen are fraudsters haunts the minds of many SRS officials. This makes the work of SRS more repressive and aggressive. It is not focused on cooperation and common goal – welfare of the country.

What is your industry’s ‘trump card’? What is the ‘Achilles heel’?

Our trump card is the cooperation with Latvia’s science in the development of new technologies, which forms the foundation of our new products and their realization in the world. Our Achilles’ heel is the lack of actual communication between businessmen and scientists – often they do not meet at all. They do not understand each other; do not know what they can give each other. MADARA Cosmetics successfully cooperates with scientists of the University of Latvia and Riga Technical University.

Do you feel any lack of skilled workers?

Mostly, yes. Our workers are not trained in Latvia. We train them in the company. We also have people from France working for us.

What do you predict for the next five years? Will the economic situation in the industry improve, worsen or remain the same?

Improvements and sharp falls in the cosmetics markets depend on the development of countries and regions. Latvia’s situation will improve. The situation in Europe will either improve slightly or stagnate. The situation in Asia and USA may experience high economic growth.


Leave a reply

Prime Minister: Latvia cannot accept additional asylum seekers

Latvia cannot afford to resettle additional asylum seekers, said Prime Minister Māris Kučinskis during his meeting with European Commission President Jean-Claude Juncker on Thursday, 19 October.

Scandinavians purchase tourism company in Lithuania; changes expected in Latvia too

Dutch Otravo online travel organization has expanded and has purchased Lithuanian online travel agency Interno Partneris, thereby entering the Baltic market.

Ombudsman: non-citizen status matter should be resolved in next decade

The next ten years may be the transition period to ‘put an end’ to the non-citizen status in Latvia, said ombudsman Juris Jansons in an interview to LTV programme Rīta panorama.

Swedish Foreign Minister: harassment exists at highest political level

The Foreign Affairs Minister of Sweden, Margot Wallström, has commended the current sexual assault and harassment awareness campaign in social media and urged to fellow politicians to address the problem.

Latvenergo recognized as Latvia’s most valuable company for tenth time

Latvenergo has been recognized as Latvia’s most valuable company in 2017. Its value grew 34% in comparison with 2016, according to the TOP 101 list of Latvia’s most valuable companies compiled by Prudentia and Nasdaq Riga.

Number of births and number of deaths decline in Latvia

During the first nine months of this year 15,723 babies were born in Latvia, which is 1,113 children fewer than in the corresponding period of the last year.

CC applies binding conditions for the sale of MTG Broadcasting AB

Latvian Competition Council has decided to permit Bite Lietuva to purchase MTG Broadcasting AB group’s businesses in Latvia. CC has applied several binding conditions to prevent a possible impact on competition on the television services and advertisement market.

Eesti Energia warns: Limiting CO2 emissions on capacity could endanger energy supply

Estonian energy giant Eesti Energia has evaluated that a plan under discussion in the European Union to introduce a carbon dioxide release limit for capacity mechanisms to qualify for subsidies could adversely affect the security of supply in Estonia and the Baltic states.

Solidarity tax norm recognized as non-compliant with Latvia’s Constitution

On Thursday, 19 October, the Constitutional Court of the Republic of Latvia declared the Solidarity tax norm as non-compliant with the country’s Constitution.

Survey: Riga residents go to the doctor’s the most often

34% of residents undergo regular health checks, according to Mana Aptieka & Apotheka health index. In addition, women are twice as serious about health checks as men.

LG cozies up with idea of rebuilding railway tracks to Reņģe, Latvia

Lithuania‘s Lietuvos Geležinkeliai has sent a mixed message as to what it intends to do next following an EC fine of nearly 28 million against it over the dismantling a 19-km railway stretch with the Latvian village of Rengė.

Čigāne: European Union’s social pillar is very important to Latvia

On Wednesday, 18 October, Saeima’s European Affairs Committee approved Latvia’s national position on the introduction of EU Pillar of Social Rights.

40% of all car problems are relate to lighting, battery and security systems

It has been determined that 41% of all car problems are related to lighting devices, 39% of problems are related to malfunctioning batteries, and 44% of problems are related to security systems.

Xi Jinping: Chinese socialism has entered new era

China's ruling Communist Party's five-year congress has been opened with the country's President Xi Jinping outlining a general plan for the future development of China.

Public transport in Latvia procurement may be at risk

Considering that continued and unhindered provision of public transport services on ten routes may become at risk from 1 January 2018 onward, Public Transport Council made a decision to ask the Road Directorate to sign a new contract to ensure services are available in multiple Latvian cities, as confirmed by Road Directorate.

Iraqi forces retake disputed territories from Kurdish forces

Three weeks after the Iraqi Kurdistan independence referendum, forces of the Iraqi central government have taken control of the territories in the country, which had been seized by Kurdish fighters after victories over the terrorist group «Islamic State».

Sale of MTG’s business in Baltics to Providence concludes successfully

Wednesday, 18 October, marked the successful conclusion of the sale of Baltic assets owned by Swedish media concern Modern Times Group to Providence Equity Partners. From now on companies previously owned by MTG in Baltics will function as a single organization named All Media Baltics, as confirmed by the company’s manager Pierre Danon.

Estonian port company makes 29% more revenue in January-September

Estonian state port company Port of Tallinn has made the revenue in the amount of 99.1 million euros in the first nine months of 2017, which is a 29% increase compared to January-September in 2016.

42 gambling halls to be closed down in Riga in next five years

On Wednesday, 18 October, Riga City Council supported plans to close another 33 gambling halls in the city. With that, a total of 42 gambling halls will be liquidated in the next five year.

Latvia has the highest index of female CEOs among EU member states

The highest index of female CEOs among European Union member states belongs to Latvia – 47%. In total, only 33% of CEOs in EU were female last year, according to data from the Central Statistical Bureau of Latvia.

Survey: more and more people take notice of benefits provided by EU membership

65% of Latvian residents believe the country’s membership in the European Union has brought tangible benefits. A similar opinion was voiced by 64% of residents of all EU member states in the Eurobarometer study performed by the European Parliament.

17 persons in need of international aid are relocated to Latvia from Turkey

On Tuesday, 17 October, seventeen individuals, including nine children, in need of international protection were relocated to Latvia from Turkey as part of EU resettlement programme, as confirmed by Latvian Office of Citizenship and Migration Affairs.

BATL: to avoid crisis in transit sector, government and Transport Ministry must act

Latvian Prime Minister Māris Kučinskis’ led Latvian Ports, Transit and Logistics Council also supports Saeima’s National Economy Committee’s decision on the need for Transport Ministry to develop a long-term vision for the development of the country’s transit industry.

Psychologist: six-year-old children are not ready for school

«It is wrong to believe that the sooner a child starts going to school, the better their academic results will be. Reforms are performed aggressively, without asking pedagogues or other specialists for their opinion. We lack a comprehensive analysis of the current situation that would be based on studies, not international ratings,» says certified clinical psychologist and psychotherapist Jolanta Lamstere.

Klaipeda transport ticketing system to be installed by Estonian Ridango

In the Lithuanian port city of Klaipeda, Estonian firm Ridango has been selected for installing its technology on public transport.