Food companies and retailers in France have agreed to boost meat prices if the cost of feed continues to soar.
“It’s a good deal because everyone has agreed – retailers, manufacturers, producers,” said Agriculture Minister Bruno Le Maire. “With this agreement there is a discussion clause and the possibility of passing on (production costs) in the sale price.”
The deal calls for food companies and meat farmers to renegotiate sale terms if feed prices rise or fall by more than 10 per cent year on year. Consumers would benefit if prices fall sharply.