Warehouse Optimization for an FMCG Importer to Accelerate Customs Procedures

Fozzy Commerce LLC is part of Fozzy Group, which operates across a range of industries and is one of Ukraine’s leading retailers, with more than 800 stores nationwide. The company’s core business is importing food products and household goods, which are then sold through the Group’s retail chains, including Silpo, Le Silpo, Fozzy, Fora, and others.

High sales volumes, regular supply, and delivery speed are key performance indicators in this sector. These depend not only on strong operational execution, but also on the speed and predictability of customs clearance. To ensure uninterrupted performance in customs operations, it is important to minimize cargo delays, reduce the operational burden, and improve the predictability of customs procedures. That is why companies seek a set of appropriate authorizations that allow them to optimize customs processes across their goods flows. The client came to us with precisely this request.

After analyzing the company’s internal business processes and identifying the goals it sought to achieve, our team developed a roadmap for obtaining the relevant customs authorizations. The proposed approach enabled the client to adapt to legislative changes while also improving operational efficiency.

PwC took an active role in the comprehensive diagnostic review of the company’s business operations and internal procedures, as well as in the organization of the warehouse being prepared for authorization. One of the key areas requiring diagnostic review was warehouse procedures. 

A separate issue addressed as part of the warehouse operating model update was ensuring compliance with all requirements both for obtaining customs simplifications and for proper tax treatment and control of the warehouse facility.

With the goal of increasing operational flexibility, accelerating logistics, and strengthening supply chain control, the Silpo supermarket chain (Fozzy Commerce), with PwC’s support, made a strategic decision to obtain a number of customs authorizations. This path became a logical continuation of the company’s systematic process renewal aimed at maximizing the benefits of customs and transit simplifications.

Thanks to thorough preparation and the systematization of internal procedures, our team successfully helped the client obtain the necessary set of customs simplifications, reducing vehicle idle time and significantly accelerating logistics for Silpo.

In particular, the “local customs clearance” simplification gave the company additional options for its logistics processes by eliminating the need to physically transport goods to a customs terminal for clearance. The company can now complete customs clearance directly at its own warehouse—an authorized facility. This not only minimizes unnecessary movements and reduces logistics costs, but also significantly speeds up shipments and increases overall operational control. 

Fozzy Commerce, one of the key importers within the Fozzy Group structure, approached PwC Ukraine for comprehensive support in implementing customs simplifications in response to changes in the regulatory environment and rising requirements for the speed and predictability of logistics processes. The objective of the project was not only to obtain individual authorizations, but to build an integrated, resilient model for interacting with customs authorities embedded in the company’s day-to-day operations.

At the initial stage, the PwC team conducted a diagnostic review of the processes related to goods imports, customs clearance, and goods flow management. The analysis covered both operational and regulatory aspects, including work on internal procedures. This approach made it possible to comprehensively assess the company’s readiness to use customs simplifications and identify the next steps in its transformation.

As part of the project, PwC developed a structured approach to obtaining authorizations, including the preparation of the required documentation and methodological support at every stage of interaction with the customs authority.

Particular attention was paid to aligning requirements and integrating the simplifications into the company’s overall operating model without disrupting the stability of its business processes. 

The engagement resulted in a transformation in Fozzy Commerce’s approach to managing customs processes—from customs clearance at customs terminals to a systematic, predictable operating model at its own warehouses. With PwC’s support, the company successfully obtained a number of key customs simplifications that laid the foundation for further improvements in operational flexibility, optimization of logistics flows, and strengthening of the company’s competitive position in a highly dynamic retail environment.

As a result of the implemented solutions, Fozzy Commerce significantly improved the efficiency of its customs operations and logistics. The authorizations obtained reduced customs clearance time, decreased idle time and operating costs, and increased the control and transparency of goods flows. This ensured more stable and predictable warehouse operations, which had a positive impact on shipping speed and the company’s overall operational efficiency.