The Minister of Economy issues an ultimatum to the main manufacturers of consumer goods. While the prices of energy and raw materials have been falling for several months, inflation in supermarkets continues to break records.
A paradox that Bruno Le Maire, a guest this Tuesday on BFMTV, considers unacceptable. While distributors and manufacturers completed their round of negotiations in March endorsing price increases of between 5 and 10%, the minister calls on the players in the sector to meet again.
“I would like the downward impact to be as fast as the upward impact,” said the minister. A petition to which the president of Ania, who represents the food industry, says he is in favor but continues to ask for a postponement. Jean-Philippe André thus informed BFM Business that the renegotiations will only take place when “there are changes in the costs of our raw materials and our packaging”. Some manufacturers had to renegotiate their supply contracts upwards in 2022 amid rising energy prices.
“No undue margins”
Bruno Le Maire, however, issues an ultimatum. “I give them a few weeks and, at the end of May, if the negotiations do not resume, I will summon the distributors and manufacturers to the Ministry of Economy and Finance to resume the discussions,” the minister confided to BFMTV.
In case of refusal, the minister recalls the precedent with energy companies, including EDF. “When it was not like that for the large energy companies, we recovered the margin. If they do not negotiate again, I will examine all the options I have,” he threatens.
Some players are also calling for the end of the legislative framework in time for trade negotiations. The head of System U Dominique Schelcher thus wishes “when the circumstances are exceptional or extraordinary” that the “3-month period of commercial negotiations” be suspended in order to “be able to negotiate all the time”. A proposal that Jean-Philippe André says he is in favor of.
Source: BFM TV
