The price of certain food products in France could see percentage rises in the “double figures” year-on-year in 2023, the head of supermarket giant E. Leclerc has warned, as price increases continue to outstrip the overall inflation rate (6.2% year on year in October 2022).
CEO of E. Leclerc, Michel-Edouard Leclerc, issued the warning this week on RMC-BFMTV. He said: “We are heading for a tsunami. Contrary to what is being said, inflation is not temporary. Levels that are coming around Christmas time…we’re talking double-figure inflation.”
Michel-Edouard Leclerc (@Leclerc_MEL): "L'inflation n'est pas que passagère. L'inflation qui se prépare est une inflation à deux chiffres" pic.twitter.com/eNB7l0vNoi— BFMTV (@BFMTV) November 8, 2022
This could have a significant knock-on effect on prices. Mr Leclerc said that he was already aware of certain brands that are looking to reevaluate their prices.
These are expected to include:
40% rise year on year for animal food
20% for pickles and jams
16% for dairy products
15.08% for oils, spices, and condiments
13% for fresh produce and delicatessen
13% for poultry
11% for office supplies and stationery
10.83% for starches and carbs
10% for coffee
Fresh food items are currently said to be up by around 17% year on year.
All products are set to see some rise, even outside of food products. The rising cost of energy is having a major effect on the farming and food production industries, which are becoming forced to pass on the extra costs to consumers.
Mr Leclerc said that the group had already noticed that consumers are “tightening their belts and downgrading what they eat".
However, Mr Leclerc did add that France was still generally cheaper than its neighbours as “People from Belgium come and shop here [in France], and we are also cheaper than Germany”.
A recent poll found that two-thirds of people in France have already reduced their food purchases due to the rising cost of living.
Mr Leclerc said: “We must be in ‘fight mode’ to avoid hitting people in France with an ‘inflation wall’.”
Economy Minister Bruno Le Maire used similar warlike language to RMC earlier in the day. He said: “Our battle is to bring inflation down to more reasonable levels over the course of the year 2023.”
A study earlier this year found that food shopping was likely to cost at least €224 extra per person this year, with “the worst yet to come”.
€224 more per person for food shopping in France this year, says study
What food products have risen most in price in France?
Inflation in France slowing but fresh food prices still up 11% in year