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Why distributors are preparing to increase on-shelf prices

2021-09-15T17:44:21.350Z


DECRYPTION - Many brands renegotiate upward the prices at which they buy certain products. After resisting for months, the food distribution brands gave in to joint pressure from farmers, defended by their minister, Julien Denormandie, and food industry manufacturers. Distributors are preparing to pay some of their suppliers a little more, and pass these increases on to their shelves. Since April, farmers and manufacturers have seen their costs increased by the increase in raw materials


After resisting for months, the food distribution brands gave in to joint pressure from farmers, defended by their minister, Julien Denormandie, and food industry manufacturers.

Distributors are preparing to pay some of their suppliers a little more, and pass these increases on to their shelves.

Since April, farmers and manufacturers have seen their costs increased by the increase in raw materials and packaging.

For a long time, the brands did not want to hear anything: they know the sensitivity of customers to prices.

Since the end of the first containment, prices have even fallen (- 0.5% over one year according to IRI).

See also

Rise in the price of agricultural raw materials: are manufacturers benefiting from it?

This position is no longer tenable.

Many brands are renegotiating upwards the prices at which they buy certain products, without waiting for the next annual negotiations, which are due to be completed in March.

Everything contributes to pushing up prices: climatic hazards have succeeded one another, harvests

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Source: lefigaro

All news articles on 2021-09-15

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