Consumers are cutting back on essentials, Carrefour CEO warns
French retailer urges state to delay law limiting retail promotions as price hikes bite
29 August 2023 - 15:44
byDominique Vidalon
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Paris — The CEO of French retailer Carrefour warned on Tuesday that consumers are curbing purchases of essential staples due to high prices, and urged French authorities to delay a law limiting the size of promotions retailers can offer.
“We are seeing a nonspending tsunami in France. When essential staples are no longer accessible, when people go without essential goods, one must act,” chair and CEO Alexandre Bompard told Franceinfo radio.
Bompard, who like other retail bosses is due to meet finance minister Bruno Le Maire on Wednesday to discuss cost-of-living issues, said he will ask the minister for “a one-year moratorium on the application of the Descrozaille law, which limits promotions on beauty, hygiene and care products.
The law, passed in March and due to come into effect in March 2024, notably limits to 34% the size of promotions a retailer can offer on beauty, hygiene and care products. At present Carrefour, for instance, is free to sell washing powder at a 60% discount, he said.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Consumers are cutting back on essentials, Carrefour CEO warns
French retailer urges state to delay law limiting retail promotions as price hikes bite
Paris — The CEO of French retailer Carrefour warned on Tuesday that consumers are curbing purchases of essential staples due to high prices, and urged French authorities to delay a law limiting the size of promotions retailers can offer.
“We are seeing a nonspending tsunami in France. When essential staples are no longer accessible, when people go without essential goods, one must act,” chair and CEO Alexandre Bompard told Franceinfo radio.
Bompard, who like other retail bosses is due to meet finance minister Bruno Le Maire on Wednesday to discuss cost-of-living issues, said he will ask the minister for “a one-year moratorium on the application of the Descrozaille law, which limits promotions on beauty, hygiene and care products.
The law, passed in March and due to come into effect in March 2024, notably limits to 34% the size of promotions a retailer can offer on beauty, hygiene and care products. At present Carrefour, for instance, is free to sell washing powder at a 60% discount, he said.
Reuters
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