Grocery retailer Carrefour has decided to stop selling Pepsi products in certain parts of Europe, including France, Spain, Italy, and Belgium, due to what it deems “unacceptable price increases.” The decision affects various products, such as Pepsi soda, Doritos, and Quaker cereals.
The move by Carrefour is a response to rising food prices, with the French government actively seeking to address the issue and urging major food companies to lower prices. Pepsi has raised prices in recent years, citing increased costs, and has engaged in “shrinkflation” – reducing the size of products without proportionate price reductions.
This public dispute is reminiscent of similar conflicts in the past, such as Tesco facing off with Kraft Heinz in 2022 over price increases for staples. Pepsi stated that it has been in discussions with Carrefour for several months and intends to continue engaging in good faith to ensure its products remain available.