2023-08-12 15:15:05
Economic developments in France have had a direct impact on food products in supermarkets. Indeed, the inflation recorded on these products is at the center of concerns. According to INSEE data, the figures announced for the month of July have increased compared to June. However, the overall trend has changed compared to the previous year. Inflation on these retail products has declined, which is a fairly satisfactory development.
Inflation over one year: the trend is slowing down!
Figures recently published by INSEE show that food inflation slowed slightly in July, registering a rise of 13.1% over one year, compared to 14.4% in June. This downward trend could indicate the beginning of price stabilization on supermarket shelves. Although food prices have increased considerably, the trend still shows a certain slowdown compared to the previous year.
Indeed, by establishing a detailed analysis of these products, the results are rather satisfactory compared to the year 2022. Meat prices recorded an increase of 11.3% in July over one year against 12.6% in June . Similarly, for drinks, inflation showed a deceleration on an annual basis, going from +10.8% in June to +10.1% in July. For other food products, price growth was 15% in July, marking a slowdown from the 16.6% increase recorded the previous month.
However, over a period of one month, the figures released by INSEE do not reveal a net slowdown. The prices of meat, as well as those of drinks sold in supermarkets, rose by 0.4% between June and July. This is an increase that was not observed between May and June, where the increases were zero for meats and 0.3% for drinks. Moreover, the increase in inflation for other food products also accelerated over a monthly period, rising from +0.2% in June to +0.3% in July.
Failed negotiations…!
Desired by the Minister of the Economy, Bruno Le Maire, the negotiations between distributors and manufacturers of agri-food products are not progressing. For some of these, it is even impossible to put prices on the trading tables. Indeed, only two out of 75 agreed to renegotiate with Lidl, ten with Système U. To this end, the manager of the latter had expressed his disappointment during an interview on the microphone of RTL: “ We have a few actors who have lowered prices, made promotions, but in general, these discussions have been very difficult.
However, the leader considers that the episodes of high inflation are far from being repeated for the coming months: “ But we will not return to pre-crisis prices, because certain raw materials remain at high prices, wages have also increased, fuel prices too he says.
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