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The Impact of Inflation on Prices of Burgundian Local Products

Since the explosion of inflation, Burgundy producers have sometimes had to review their prices. Dijon mustard, Anise from Flavigny, Burgundy snails… how have the prices of these essential regional products evolved?

Since the summer of 2021, inflation has reached record highs with +5.2% in 2022, according to INSEE. While the French sometimes skip over certain products because of the price, how have the labels of Burgundian local products evolved?

Marc Désarménien is the manager of Moutarderie Fallot in Beaune. The price of his pot of mustard has increased by €2 in 2022. He deplores many factors responsible for this increase: “The oil is dependent on world prices, its price is very high. Packaging has also increased a lot, there have been huge increases in glass. Our seeds come from Burgundy, the price has increased by 30%. We must align ourselves with the prices of other agricultural commodities so that farmers find the cultivation of mustard seed attractive.

In total, the price of the Fallot mustard pot has increased twice in 2022: +9% in the first quarter and +12% in the last quarter of the year.

For Catherine Troubat, director of anis de Flavigny, the price of her “bonbecs” rose to +2.90% until November 2022 and has since exceeded 10% inflation. If we refer to one of the flagship products, the traditional oval iron box, the year 2022 has seen +3% and +5.6% since November 2022.

“We are tightening our belts on all sides, it’s really a hassle. Even my father has never experienced this with the company. What motivates us is to see that consumers still love our sweets so much.”

Catherine Troubat

director of Anis de Flavigny

The price of sugar exploded with an increase of 67%. Obviously for our bonbecs, it has a strong impact on the manufacturing cost“, regrets the director of Anis de Flavigny. “We have a lot of changes in electricity and gas prices like all manufacturing companies. Our boxes are made of metal, and this has increased by 38%. This forces us to pass on our labels at some point.

From €2.95 in 2021, this little box now sells for €3.10.We tighten the belt on all sides, it’s really a hassle“, assure Catherine Troubat. “Even my father never experienced that with the company. What motivates us is to see that consumers still love our sweets.

But not everyone suffers from inflation. At least not all at the same intensity. Fréderic Marcouyoux is a Burgundy snail breeder in Vernot (Côte-d’Or). He considers himself less affected than others by this difficult period. “We are lucky compared to certain sectors. It comes from several parameters. The fact that in the trade, only 5 to 10% of snails are bred in France, and that a large majority comes from Eastern Europe plays a little in our favour.

With rising transport costs, the gap created by the differences in labor prices between different countries tends to narrow. “We have always favored local producers. They have been less affected by recent developments, particularly in terms of transport.“Frédéric Marcouyoux gets supplies from a market gardener 10 kilometers from his home to season the snails. The short circuit makes it possible to limit the costs of gasoline, which have soared.

I work 70 hours a week, seven days a week, it’s the only way to earn a minimum wage by setting the price at €8″

Frederic Marcouyoux

snail farmer in Vernot

Despite these positive factors, the price of his dozen snails still increased. From €7.50 before September 2022, it has risen to €8 since. “We hadn’t changed for 4 years“, supports the producer. He only sets his prices according to his production costs, but he admits that he tends not to value working time enough. “I work 70 hours a week, seven days a week, it’s the only way to earn a minimum wage by setting the price at €8.”

READ ALSO : In Saône-et-Loire, two large retailers pinned down for their poor price display

This Friday, April 14, INSEE published a new report on inflation in France in March. The French institute reveals a slowdown in inflation: “Over one year, consumer prices increased by 5.7% in March 2023, after +6.3% in February”.

Energy prices have been announced lower, but for the producers questioned, unanimously, “it does not change much for the moment”.

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