This is the sharpest slowdown since the start of the war in Ukraine. In November, inflation was +3.4% year-on-year, according to Insee. But the food sector continues to experience price rises. Focus on the latest figures
Inflation slows down in France in November
A definite slowdown? That’s the message the government is taking from INSEE’s provisional figures, just published today:
“Over one year, according to the provisional end-of-month estimate, consumer prices would rise by 3.4% in November 2023, after +4.0% in October. “
The slowdown was mainly driven by the services and energy sectors, particularly in the transport sector:
Inflation up in France in November
Since peaking at 6.3% last February, inflation has been on a clear downward trend, which is forecast to continue. Bruno Le Maire, the French Minister of the Economy, welcomed this development on France Inter:
“I can confirm that we are emerging from the inflationary crisis. We’ll be below 4% inflation by the end of 2023, which is a real economic feat, thanks to the economic policies of the eurozone countries. “
Food, still an area of tension
The food sector, which is one of the major concerns of French households, is the only one not to slow down, again according to Insee figures:
” Food prices rose over one month, from 7.6% in October to 7.8 in November, mainly due to the increase in fresh produce. Excluding fresh produce, they remained stable. “
It should be remembered that trade negotiations between manufacturers and distributors will be brought forward to next January. Yesterday, however, four French consumer associations published an open letter to Emmanuel Macron. In it, they denounce the excessive margins applied to food products:
“Today, with inflation, the healthiest products, including fruit and vegetables, are becoming increasingly inaccessible for millions of people. This is unacceptable. “
The associations are calling for “total and immediate transparency” on the net margins per product of food industry professionals, as well as mass retailers. Currently, only average margins per food category are available.
Last September, the Head of State promised greater transparency, as he explained in an interview with TF1:
No one should profit from this crisis. […] We’re going to put in place – and I’m going to see to it personally – an agreement on the moderation of margins throughout the food sector. “
According to Secours Populaire, one in two French people skipped meals last summer because of rising prices.
