Commercial negotiations, inflation among the middle classes… Dominique Schelcher’s “8h30 franceinfo”

The CEO of Système U was the guest of “8h30 franceinfo”, Tuesday January 16, 2024.

Dominique Schelcher, CEO of Système U, was the guest of “8h30 franceinfo”, Tuesday January 16, 2024. Result of the first round of trade negotiations, effects of inflation on the middle classes… He answered questions from Salhia Brakhlia and Jérôme Chapuis.

Commercial negotiations: “There will be price cuts”

After the first round of commercial negotiations, which ended Monday evening, and which concerned suppliers with less than 350 million euros in turnover, Dominique Schelcher assures that consumers will see “price drops” on “a number of products”.

The CEO of Système U quotes “pasta, chips, arabica coffee, or paper products, such as diapers”and specifies that the price change will be “very variable from one product to another”. The drop will not be as spectacular as the inflation on food products over the past two years, which has reached almost 20%. “I have always said that we will not return to pre-war prices in Ukraine” explains Dominique Schelcher who remains firm on the fact that he “there will be price drops where raw materials have fallen”.

Suspension of the sale of certain brands: “I do not exclude it”

Asked about the possibility of suspending the sale of Pepsico group brands, as Carrefour is doing, to protest against the increase in prices demanded by the manufacturer, Dominique Schelcher tempers: “I’m not there yet, I’m not ruling it out, but we’ll know in 15 days“.

“The novelty”explains the CEO of Système U, is that“we have the support of our consumers”, since it is to defend their purchasing power, he assures. The second round of negotiations, with the largest suppliers, will end no later than January 31.

🔴 Commercial negotiations ➡️ “There are unreasonable demands from a certain number of industrialists,” laments Dominique Schelcher, speaking of “increases that we don’t understand.” #8h30franceinfo pic.twitter.com/grjgXXQQ3R

— franceinfo (@franceinfo) January 16, 2024

Inflation: the government must “support” the middle classes

Dominique Schelcher said to himself “particularly” preoccupied by “the situation of the middle classes” which are “most affected” by inflation.

Système U symbolizes the sign of the territories. Dominique Schelcher likes to point this out and says he is in contact with his middle-class clients: “I talk a lot with them. They really have the feeling of being the victims of this extremely high inflationary period. We must support them”, he assured. He calls on the government to “stay tuned and find solutions for these people”.

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Find the entire 8:30 a.m. franceinfo from Tuesday January 16, 2024: