International News - Russian grocers set to sow seeds outside Moscow

The Russian retail boom continues, with homegrown grocers Perekriostok and Paterson announcing plans to expand beyond their traditional Moscow stamping grounds.

Perekriostok, the country's second-biggest food retailer, will add 15 shops to its 48-store network this year, including some outside Moscow.

The retailer, whose sales leaped 30 per cent to US$210 million (£132.5 million) in the first half of 2003, is building up to an IPO in 2005 or 2006.

Moscow-based peer Paterson, which runs 17 supermarkets and hypermarkets, is also pushing into the provinces this year, with openings in Kazan, Ufa and Penza. It has drawn up aggressive expansion plans and 60 shops are anticipated by 2005.