“Carpathian Spring” turned out not to be from the Carpathians: the company faces a fine
5 March 10:44
The Antimonopoly Committee of Ukraine suspects the water producer Karpatskaya Dzherelna of potentially misleading consumers through its labeling. This concerns products manufactured by Karpatskiye Mineralnye Vody.
According to a press release issued by the committee on February 26, the design of the bottles could give buyers the impression that the water comes directly from the Carpathians, although the actual place of extraction may be different, reports "Komersant Ukrainian".
What exactly prompted the AMCU’s claims
The following products were subject to inspection:
- Karpatskaya Dzherelna mineral water
- SPORT drinking water
According to the AMCU, the following were used on product labels:
- the word “Karpatskaya”
- images of mountains and fir trees
- the silhouette of a peregrine falcon
- a map marked “Carpathians”
According to the regulator, such design could create the impression among consumers that the water originated in the Carpathians. This, in turn, could influence buyers’ decisions to choose this particular brand.
What penalty could the manufacturer face?
In its preliminary conclusions, the Antimonopoly Committee proposes:
- to impose a fine on the company of up to 5% of its annual revenue for 2025
- to oblige the company to stop using labels that could mislead consumers about the origin of the water.
These conclusions are preliminaryat this stage. The final decision in the case will be made after the company provides its explanations.
Where is Karpatskaya Dzherelna produced?
The company’s first plant operates in the village of Strutyn in the Zolochiv district of the Lviv region. Water production began there in 1996 — at that time, it was a non-alcoholic beverage workshop of a state-owned distillery.
In 2002, the enterprise was reorganized into a mineral water production plant.
According to the company, Karpatskaya Dzherelna water is extracted from
- from two artesian wells
- at a depth of about 90 meters
- near the source next to the plant.
What products does the company produce?
Karpatski Mineralni Vody LLC produces several popular beverage brands:
- Karpatskaya Dzherelna mineral water
- Fruktova Dzherelna sweet drinks
- Sokovinka beverage
- Dzherelce children’s water
- Dragon energy drink.
Who are the owners of the company
According to YouControl, the beneficiaries of the company are:
- Entrepreneur Serhiy Ustenko — 83.77%
- former Ukrainian politician Petro Ustenko — 16.23%.
Other companies owned by the Ustenko family operate in the following sectors:
- real estate
- construction
- investment
However, the group’s main business remains the production of mineral water.