” It’s incomprehensible. We still have no sign of a massive move from major industrialists to discuss price cuts. » While inflation has been eating away at the purchasing power of the French for a year, Dominique Schelcher, the CEO of the Système U group (Hyper U, Super U, U Express stores, etc.) notes that the big brands have still not returned to the negotiating table to pass on the fall in the price of raw materials. And this despite their declarations of intent to the government.
On June 9, 75 major manufacturers pledged to lower the prices of certain everyday consumer products from July, said the Minister of Economy and Finance, Bruno Le Maire, on BFM-TV. But among the distributors, the account is not there.
Nowadays, “There are only three who have told us ‘we will come back to you for reductions’, but we haven’t formalized anything yet”, notes Mr. Schelcher. Among them, suppliers of pasta or oil “based on seeds, because raw materials are in sharp decline”. For the rest, “the renegotiation movement has still not started”notes Mr. Schelcher.
“Strong recovery of margins”
The distributor contacted more than 90 different contacts within these 75 companies, which are present in different supermarket departments. Like PepsiCo, which sells drinks but also grocery products (Lay’s crisps, Quaker cereals, etc.), or Nestlé, with its waters (Perrier, Contrex, San Pellegrino, etc.), its baby yoghurts and its cereals (Chocapic, Golden Grahams…).
Result : “Ten interlocutors are in the dairy world and are ultimately not involved in the discussion, fourteen told us they were ready to discuss. Thirty-two said “no”, and thirty-seven didn’t even deign to answer. »
For the boss of System U, “Manufacturers are in a period of strong recovery of their margins”. They take refuge behind the legislative framework stipulating that pricing contracts between major brands and distributors are discussed between the 1er December and 28 February, to be signed no later than 1er March.
“This system was suitable when there were few price fluctuations, but it is no longer so today. In Spain or Germany, which have not set an annual negotiation period, food prices have fallen from April, including for major brands. » At the start of the school year, the boss intends to raise the subject with parliamentarians, so that they can take it up during a legislative window.
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