Food inflation: "Yes, there are people who are taking advantage of this crisis", denounces Lidl

Yanis Darras 2:04 p.m., October 03, 2022

In supermarkets, it is a habit that many consumers have taken.

Many now look at the labels and see the price of food soaring.

In September alone, food inflation was 9.9% over one year, according to a provisional study by INSEE.

A figure that contrasts with the rest of the sectors, in particular that of energy, where inflation is finally slowing down. 

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So, on the side of the supermarkets, the response against companies practicing abusive increases, is organized.

The boss of the Les Mousquetaires group (which includes Intermarché), François Eyraud, has announced that it will now be impossible to find certain bottles of water on the shelves of his supermarkets.

Invited to BFM Business, the latter indicated that he was withdrawing several waters from the Danone group, including Evian, from the shelves following "unjustified price increases". 

Of "transparency in exchanges"

"Yes, there are people who are taking advantage of this crisis" confirms to Europe 1 Michel Biero, the executive director of purchasing and marketing Lidl France.

But he assures him: "We are not here to put pressure on the brands. Once again, we understand the increases that are asked of us, from the moment that they are justified and that we are shown some transparency.

"But I need transparency in the exchanges," he continues.

"We cannot work today in this situation and this inflationary crisis. If someone comes to us asking for a 15, 20 or 30% increase without giving us any explanation", it does not work. 

Limit price increases

But, while the French are paying more and more attention to what they buy on the shelves, the inflationary situation should not subside by the end of the year.

INSEE forecasts food inflation at 12% by the end of 2022. "Yes, I am very worried", confides Michel Biero.

But "on our shelves, we are more at 6 or 7% increase. So we try to contain this inflation. We are very careful and it costs us in net margin of course for the brand. But when we take increases 20% on pasta or oil, we try to put only 15 or 17% inflation on the price paid by customers". 

"I think that 12% is exaggerated, I hope so", specifies at the microphone of Europe 1 the executive director of purchasing and marketing Lidl France.

"I'm crossing my fingers (note: that it's not so high), but I would be counting on 10% by the end of the year".

"But we must try to help our consumers as much as possible and preserve their purchasing power," he concludes.