French flour is no longer a recipe. In 2024, Hexagon only exported 214,000 tons of flour, compared to 1.6 million in 1995, a 90% drop in 30 years. Until your commercial balance is reversed.
A fall that is explained in particular by the appearance of new actors. “This fall in world markets is produced in part of the fact that many African countries have been equipped with sneakers and crude crude wheat, explains Anne-Céline polluted, general secretary of ANMF, to opinion.
And if France is distinguished and now accelerates in high -end segments and exports more and more to the United States, this is not enough to use the sector.
“A historical commercial deficit”
The difficulties of the sector, combined with the increase in wheat prices with the war in Ukraine, were adequate for the large mills of Strasbourg (4th French Meunier) in 2023.
In the country of the baguette, the flour is increasingly imported. Imports reached 400,000 tons in 2024, or almost 10% of the needs. “A historical commercial deficit” according to the ANMF. France is provided in particular with Germany, during 60% of its imports (they have doubled in 10 years).
German flour occupies more and more space, especially on the shelves of supermarkets, with 25% of 1 kg sachets sold in supermarkets, often the first prices.
A more competitive German sector
The association has even decided to take the subject with body arms and carry out a study on the difference in competitiveness between France and Germany. First observation: The flour extraction rate is an average of 81% in the last five years in Germany, compared to 78% in France. This is explained both by the performance of the equipment and by the details of the wheat used.
In addition, German factories, in addition to having a great capacity, are integrated into groups with a diversity of activities. “This organization, which mutualizes certain functions of the company, promotes the realization of the scale economy with a reduction in production positions,” says the ANMF.
Finally, the German sector benefits from lower costs, particularly because it uses less workforce compared to the size of the factories. The study also evokes the production costs that are lower: wheat cost, salaries, taxes … which allows it to be competitive in prices.
“Aging of the production tool”
Ironically, German flour is often done with French wheat, crushed on the other side of the border and then returns to French supermarkets. The ANMF even denounces the fact that certain flour bags made in Germany show French flags or highlight the French origin of wheat, even if the transformation is carried out on the other side of the RIN.
In this context, the ANMF requires more transparency and especially to investments in the equipment (digitalization, modernization) and storage premises (expansion, adaptation). But in a context of very small margins, companies can often not afford to invest.
A Credit Agricole report on the sector aims to “age the production tool” and “continuously postponed investment projects.” Therefore, according to a business survey, in 2024, 55% does not provide an increase in its investments. Almost 20% will even have to operate cuts in their work expenses. Low profitability is the leading main reason (57% of the answers).
Source: BFM TV
