with rising prices, negotiations between supermarkets and suppliers are becoming tense

With the rise in prices, negotiations between major distributors and suppliers are more tense than ever. Marie-Laure Jarry, general manager of Maison Le Goff, is well placed to know. For the past few months, it has been hit hard by soaring commodity prices. Now she loses money on many recipes. But when she asked the hypermarkets she sells to for a raise, she faced a refusal. The boss still ended up getting a raise, but smaller than she expected.

A food industry executive has decided to denounce the practices of hypermarkets by recording, in secret, his negotiations with large retailers. Arthur, who testifies anonymously, would like Intermarché and Casino to buy his products at around 5% more. But in this case, the representative of hypermarkets threatens to remove some products of its brand from the shelves. The purchasing center then made an offer: if it agrees to buy Arthur’s products at a higher price, it requires in exchange that he finance major in-store promotions. Above all, she announces that several of her brands will be removed from the shelves.