A disagreement between French retailer E. Leclerc and Lactalis over the price increases demanded by the dairy group has entered a second week and shows little sign of being resolved.

Leclerc has removed Lactalis products from its reference list, refusing to accept the increases that, it claims, are “unjustified”.

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A spokesman for Lactalis told just-food that relations had not been broken off with Leclerc and that negotiations were continuing.

“We are working on reaching an agreement and hope we’ll be able to resume business with Leclerc soon. That’s all we can say.” he said yesterday (16 March).

In a statement displayed at its outlets, Leclerc said that the dairy group has demanded prices increases “which are two to three times greater than those we have negotiated with its direct competitors but who nevertheless are to having cope with the same hikes in commodity prices”.

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