The Easter chocolate egg hunt is about to begin. But in a context of double-digit food inflation, will consumers still be there?
“Currently we are not seeing big changes among the French, the product is still strong among consumers, but Easter will be revealing,” Gilles Rouvière, general secretary of the Syndicat du chocolat, admits to BFM Business.
The manager also indicates that in 2022 the sector observed “a slight inflection in volume and value” without giving precise figures.
Prices rise 5.4% on average, according to sectors
Therefore, the question is whether the price increase will chill consumers or encourage them to change their choices of Easter chocolates quantitatively or qualitatively.
First you need to know that prices for eggs and other chickens were negotiated with big retailers in late 2022, the union explains, a period when commodity inflation was a bit lower.
Nor do they fully take into account the jump in the cost of raw materials and energy, the official says.
+75% for sugar, +8% for cocoa
The NielsenIQ institute evokes for Franceinfo an average increase closer to 10% in a year. At the same time, the manager questions certain figures that are currently circulating and that highlight an 11% drop in 2022 in the cost of ingredients for Easter eggs.
“Despite the reduction in raw material costs for Easter egg farmers, unfortunately families will have to pay more this year,” said Antoine Fraysse-Soulier, eToro’s head of market research.
A figure that surprises Gilles Rouvière “because last year cocoa increased by 8%, sugar by 75%, packaging by 30% and energy by 150%, all costs increased and we cannot absorb everything”.
Malgré tout, the person in charge is said to be confident for the festivals of Pâques 2023, it met in advance “a range of three large products that allow its faire plaisir based on their budget” notably in large distribution that represents 70% of the sales of chocolates Easter. And an always privileged relationship of the French with this pleasant and comforting product.
Biggest price increase for Christmas
Negotiations between manufacturers and distributors for the Christmas period are already beginning. And in view of the increase in the prices of certain raw materials that is growing, therefore, we must expect a real jump in prices.
Obviously, the industry wants the big retailers to accept further price increases. Should we expect a showdown and delisting threats like with other products?
“If there were ever threats, they were never translated into action,” says Gilles Rouvière. Especially since Christmas represents 21% of chocolate sales in supermarkets (supermarkets and supermarkets). Therefore, it is difficult to do without star products.
Source: BFM TV
