Michel-Edouard Leclerc Slams Egalim and Descrozaille Laws as Drivers of Inflation: Exclusive Interview on RMC and BFMTV

2023-09-08 07:43:58

Guest on RMC and BFMTV, the boss of the E.Leclerc centers sharply criticized the Egalim and Descrozaille laws which, according to him, maintain inflation.

Egalim 1, Egalim 2, Descrozaille law… Invited this Friday on RMC and BFMTV, Michel-Edouard Leclerc denounced the legislative texts which, according to him, contribute to inflation on the shelves. For him, the persistence of the price rise is directly linked to these laws “which were made in periods of deflation with good intentions which were to help agriculture and the return of French sectors”.

Limitation of promotions, loss-making resale threshold raised to 10%… The objective of the Egalim 1 and 2 laws and soon the Descrozaille law is in fact “to help French agriculture, to give effect to French preference, and it works for small farmers”, recognized Michel-Edouard Leclerc. “But behind the small ones, there are always the big ones. And these are the same laws that work for large multinationals.”

“Do you find it normal (…) that there is a French law which obliges French traders to take a minimum margin of 10% on food products while inflation is at 17%? delirium”, declared the president of the strategic committee of the centers E.Leclerc. On fuel, “we carry out operations at cost price but at the same time, I must limit my promotions on agri-food products and cleaning products now with the Descrozaille law,” he added.

According to him, “there is no reason to ban promotions on Coke, orange juice, or hygiene products under the pretext of helping farmers.” “The president of the Competition Authority spoke twice this summer and very clearly (…) expressed negative opinions on these laws because they are inflationary,” said Michel-Edouard Leclerc.

Distributors call for a moratorium on the Descrozaille law

Without touching the provisions of the law which contribute to supporting farmers, Michel-Edouard Leclerc wishes to “reopen the debate on the Egalim law”. “We demand more transparency in the Egalim law, in the composition of products, in the purchase price of products from multinationals. My idea is that we negotiate all the time, that there is no there is not just one period of negotiations,” he continued.

The boss of the Leclerc centers also said he was in favor of the proposal from Alexandre Bompard, boss of Carrefour, to “postpone the application of the Descrozaille law”.

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