The Russian gas cut threatens the food giants in France

by time news

Leclerc, the largest supermarket chain in the country, has warned that it will be forced to reduce opening hours if Russia continues to reduce gas supplies

The French supermarket chain Leclerc, the largest food retailer in the country, warned yesterday (Monday) that it may reduce the opening hours of its branches, as part of emergency measures to be taken to deal with the risk of energy shortages in the shadow of the Russian invasion of Ukraine, Reuters news agency reported. “For the approaching winter, we have adopted an emergency scenario based on the possibility that Russia will cut the gas supply,” said the chain’s CEO Michel Edouard Leclerc in an interview with a radio station in France. According to him, under this scenario “we will close some of the stores at certain hours.”

Leclerc, a cooperative of 600 retailers, competes with giant chains such as Carrefour and Casino. The relatively cheap prices made it the largest food retailer in France in terms of market value. Besides the fear of energy shortages, the network is taking several steps to deal with the sharp price increases. So, for example, May informed Clerk about freezing the prices of the 120 most requested products for two months. These included, among others, rice, coffee, flour, sugar, dairy products, eggs, fruits and vegetables, diapers and cleaning agents.

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Info will buy a baguette in the dark

The rate of inflation in France climbed to a record rate of 6.5% in June, when the Bureau of Statistics noted that food and energy prices jumped sharply due to the disruptions of the war. Energy prices, which were already on the rise before the Russian invasion, have since skyrocketed at a rapid pace.

Although Russia supplies only 17% of France’s gas needs, compared to about 60% for Germany, the country also faces unexpected maintenance problems at its nuclear power plants.

In view of the fear of energy shortages, French President Emmanuel Macron said in his Bastille Day speech this month that he intends to present a plan to limit consumption, in the framework of which residents will be asked to take part in saving efforts, including making sure to turn off lights at the end of the workday. Macron set a goal of reducing gas and electricity consumption in the country by 10% in the next two years and by 40% by 2050. At the same time, Perifem, the federation representing the largest supermarket chains in France, including Leclerc and Carrefour, announced an independent energy-saving plan, which includes measures such as turning off signs after Closing the stores, reducing the use of lighting throughout the day and even managing the temperature in the branches. The measures will be implemented starting October 15. France’s Energy Minister Agnes Pennier Ronacher signed orders this week that will oblige stores to close doors when air conditioning is turned on and turn off neon signs at night. Stores that do not meet the requirements will be fined 750 euros.

The various measures are designed to prevent gas shortages in the winter months and even reduce carbon emissions and the operating costs of businesses. “It’s time to reduce energy,” declared the president of the supermarket federation Thierry Cotillard. “It will fundamentally change our consumption habits.”

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