Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

French food price inflation likely down 'significantly' in Jan - Carrefour CEO

Published 03/09/2023, 19:20
Updated 03/09/2023, 19:25
© Reuters. FILE PHOTO: The fruit section is seen at a Carrefour hypermarket in Nice, France, April 6, 2016. REUTERS/Eric Gaillard/File Photo
CARR
-

PARIS (Reuters) - Food price inflation in France will likely fall significantly starting in January, following the government's plan to bring forward annual price negotiations between retailers and consumer goods companies initially planned for next year, Carrefour (EPA:CARR) chairman and chief executive Alexandre Bompard said on Sunday.

"Starting in January, we should see the level of inflation come down significantly," he said, speaking on French television channel BFM TV.

Bompard said that he expected food price inflation to come down well below 10% to closer to 5%. August data released on Thursday showed food inflation - though easing for the fifth consecutive month from a peak earlier this year - is still running at 11.1%, nearly twice the overall inflation rate.

Bompard had warned Tuesday that high prices were forcing consumers to cut back massively on essential goods.

Retailers and consumer goods companies in France have been trading blame over who is responsible for the increase in prices in supermarkets even as the cost of raw materials has been falling in recent months.

© Reuters. FILE PHOTO: The fruit section is seen at a Carrefour hypermarket in Nice, France, April 6, 2016. REUTERS/Eric Gaillard/File Photo

The Carrefour executive added that he expected food inflation to remain higher in coming years than levels over past decades of between zero and 1% due to climate and geopolitical factors.

"The time of zero food inflation, I believe, is behind us," he said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.