the possibility of selling at an effective loss at the beginning of December, assures Bruno Le Maire | EUROtoday
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HAS from the beginning of December, and even on the 1ster December, distributors may have the possibility of selling gas at a loss, introduced Bruno Le Maire, Minister of the Economy, this Monday, September 18 in the present Telematinon France 2. This measure will final six months, he stated.
“It will be effective from the beginning of December, I hope on the 1ster December, since the text of the law will be examined in the Assembly at the beginning of October,” he stated after the announcement on Saturday by Prime Minister Élisabeth Borne of such a possibility. “With this unprecedented measure, we will have tangible results for the French without subsidizing fuel,” the latter promised. Selling at a loss has been prohibited in France since 1963 and is much from unanimous, though it has been thought-about on a number of events to cope with inflation.
“Engage everyone against inflation”
Without giving a determine on the drop at the pump in order to not “commit to a figure [qu’il] is not certain to hold”, Bruno Le Maire hopes, due to this measure, “to find, depending on what distributors can do, cheaper fuel everywhere in France”.
READ ALSO Selling gas at a loss: small fuel stations indignant
The authorities desires to take this measure to fight the excessive value of gas. “Overall, our method is to engage everyone, all economic players, in this fight against inflation. The State cannot bear the cost of inflation alone, otherwise it will widen the deficit,” he assured, calling on “everyone to do their part.”
This summer season, gas costs began to rise once more, coming near the symbolic threshold of 2 euros per liter, in the wake of the surge in oil costs. And they may proceed to rise, with manufacturing reductions in the coming months determined by producing nations.
A measure removed from unanimous
The RN group (88 deputies) is in opposition to it, in response to statements by the vice-president of the RN, Sébastien Chenu, Monday morning, on Public Senate. “It’s bullshit,” he reacted, specifying that “this measure will lead to two things: large groups filling their pockets and then independent gas stations closing.”
He additionally stated he was in opposition to a vote “because we want lasting measures, we want things that last over time”. Clearly, “we want a measure to reduce taxes”, as a result of “the problem is the margins that large groups make and these are the taxes”, he added. “It is up to the State to make an effort because energy is a basic necessity,” he insisted, believing that “Élisabeth Borne sees things like an accountant.”
Selling at a loss “can respond to a very short-term issue. […] One of the disadvantages is that there is no targeting,” reacted Marylise Léon, common secretary of the CFDT, on France Info.
It’s a “completely offbeat” measure, says Frank Rosenthal, a retail advertising and marketing professional, recommending concentrating on “those who drive the most”.
In a word, the Asteres agency underlines that the measure “does not seem to be able to significantly increase the purchasing power of households”, the likelihood that a big quantity of distributors will apply it being slim and their margins being already weak. The agency additionally underlines the threat of an improve in the costs of different merchandise to “compensate for losses” and a feared ousting of small stations.
How many stations would take part?
If the measure is handed, the query will likely be to know the quantity of service stations which can use it, as a result of it’s troublesome to think about unbiased stations selling at a loss their important supply of turnover, not like the massive shops which use gasoline. to draw prospects to their cabinets. In France, round a 3rd of the 10,000 to 11,000 stations are managed by TotalEnergies (3,400 stations) and half have a serious retail model; the others are unbiased.
Francis Perrin, analysis director at Iris, is relying on “exceptional operations” over “a month or two” by supermarkets, relying on “geographical areas and competitive situations”, however not a common sale at a loss .
Many distributors have already offered gas at price value in current months. Most pledged final week to proceed these operations till the finish of the 12 months. “Gasoline is a loss leader because it is an expensive product, on which there can be differences,” explains Frank Rosenthal. Selling at a loss is “a curious way of solving the problem insofar as the distributors have nothing to do with the high price,” he provides. “The margin is made at the level of the countries that produce and those that refine. Distributors only buy, with volumes such that they can have better prices. »
On the independent side, the measure could be followed very little. “My members live 40, 50%, or even more, from the sale of fuel, so if they sell at a loss, I give them three months,” stated Francis Pousse, president of the skilled union Mobilians, representing 5 800 service stations excluding supermarkets.
https://www.lepoint.fr/economie/carburants-la-possibilite-de-vendre-a-perte-effective-debut-decembre-assure-bruno-le-maire-18-09-2023-2535794_28.php#xtor=RSS-221