Rising Prices in Europe: Belgium’s Efforts to Reduce Manufacturer Margins

2023-06-18 12:12:38

Following France’s example, Belgian Economy Minister Pierre-Yves Dermagne wants to force manufacturers to reduce their margins.

In France, the 75 major agrifood manufacturers such as Coca-Cola, L’Oréal, Mondelez and Nestlé have pledged to reduce the prices of hundreds of products affected by soaring inflation from July 1. In Belgium, the socialist Pierre-Yves Dermagne cherishes the same hope even if, for the moment, no political majority has emerged in favor of a price freeze.

In the Netherlands, too, prices continue to rise. Last month, drinks and food products were almost 13% more expensive than a year earlier. Voices are therefore raised to contain this increase.

“We are not currently planning to negotiate lower prices with food companies,” said Dutch Economy Minister Micky Adriaansens. “We apply different rules of the game in this respect in the Netherlands,” she added, referring to the role of the regulator ACM. Claiming to understand the anxiety of the population about the consequences of inflation on the wallet, the elected official recalled that the government had increased the minimum wage and allowances in this direction, while capping energy prices .

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