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Retailers Boycott Talks After Minister Accuses Them of “Deadly Blackmail”

by Michael Brown - Business Editor
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Major French retailers announced Monday, February 16, they will boycott upcoming meetings of the committee overseeing trade negotiations, following what they characterized as “reducing and caricatural” statements made by Agriculture Minister Annie Genevard. The move underscores rising tensions between distributors and the government over pricing pressures in the food sector.

The Fédération du Commerce et de la Distribution (FCD), representing major retailers including Leclerc, Carrefour, Intermarché, U, and Auchan, stated that the conditions for a “respectful and impartial exchange” with the Minister were not met. This decision comes as annual trade negotiations, which determine retail pricing, enter their final stages.

The dispute was ignited by Minister Genevard’s accusations, made in Le Parisien, that large retailers are employing a “deadly blackmail” tactic against food manufacturers. She alleged that some retailers are threatening to delist brands if they don’t agree to lower prices, potentially harming farmers.

Retailers Accuse Minister of Inflammatory Rhetoric

According to the FCD, Genevard’s statements “break with a working method based on trust and mutual respect.” The organization noted that both retailers and their agro-industrial suppliers had committed to preserving this approach under a charter signed in early December, an initiative spearheaded by the Minister of Agriculture and the Minister Delegate for Trade and SMEs, Serge Papin.

“the leaders of the distribution sector and the FCD will not participate in the follow-up committees” of these negotiations, including the one scheduled for Tuesday, the FCD announced. The organization added that it “regrets the reductive and caricatural declarations that weaken the engaged dialogue,” and argued that “designating distribution as responsible for all imbalances is a diversionary policy” ahead of the upcoming Paris International Agricultural Display.

Lactalis, a major dairy company, previously accused the purchasing center of Intermarché, Auchan, and Casino in January of removing some of its products from shelves in an effort to secure price reductions.

Le Monde with AFP

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