This low price is strongly denounced by the agricultural sector and bakers.
The last commercial operation of the E.Leclerc brand is talking about it. Michel-Édouard Leclerc announced on Tuesday the sale of the baguette at 0.29 euros for at least four months in his stores. “ We think it is a symbolic product, a marker of inflation. We are committed to locking this price down at a low level. “, He put forward on RMC. Note that, according to INSEE, the average price of the baguette in France in 2021 is 0.90 euros.
An announcement that did not fail to react to the main players in the agricultural sector. In a joint press release dated January 12, Intercéréales, AGPB, the National Association of French Milling, FNSEA and the National Confederation of French Bakery and Bakery-Pastry Denounce “ a demagogic and value-destroying Leclerc campaign for a sector of excellence. Even though the prices of cereals, and consequently of flour, are experiencing high prices and production costs are rising sharply, the Leclerc group announces prices that will deliberately destroy values.“.
A potential impact for bakeries near E.Leclerc
Dominique Anract, president of the Confédération Nationale de la Boulangerie-Pâtisserie Française, deplores the impact that this commercial operation could have on the bakeries located near the Leclerc stores. “This is dangerous, because even if this promotion only lasts three or four months and even if the French are attached to their bakers, if the bakery near Leclerc loses 300 or 400 customers during this period, it risks being seriously in trouble. Especially since we are in a difficult context for bakers where the price of raw materials and electricity are increasing. », He puts forward.
Beyond bakeries, the National Federation of Farmers’ Unions is also concerned about the long-term impact of this new price on the agricultural sector. “ Getting the French used to such inexpensive products will end up killing jobs for French farmers. We will import a lot more products from elsewhere, it will not be the same production standards at all, and consumers will lose. », Warns Christiane Lambert, president of the FNSEA. It also points to the fact that this commercial operation comes at a time when large-scale retailers are negotiating with their suppliers the pricing policy for the year.
On this point, E.Leclerc specifies that “ the decision to offer its customers a baguette at 29 cents has no impact on the purchase price of raw materials. This is an operation aimed at consumers in a context of tight purchasing power and it is 100% financed by the stores, which use their margins to offer this price. In no case does this action have a link or an impact on the purchase prices from suppliers.“Asked about the origin of its raw materials, the brand declares that its stores source from French suppliers as a priority.