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French Baguette at 29 cents : the artisanal bakery in danger

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By Rémi Héluin

In this new school year 2025, the supermarket chains seem determined to relaunch the war over the price of bread. Aldi, Lidl, E. Leclerc, three brands using the baguette as a price image tool. Offered at only 29 cents, the product appeals to a public sensitive to its purchasing power... and is accused of taking bread out of the mouths of bakers, by levelling down the entire sector.

Can we properly remunerate all the players in the wheat-flour-bread sector through a 29-cent baguette? By imposing particularly low purchase prices on their partners, discount retailers are putting pressure on players such as millers and industrialists who are responsible, particularly at Aldi and Lidl, who do not have bakers in their points of sale, for making the famous baguette. In 2022, E. Leclerc had caused indignation by communicating on this symbolic sale price, even though wheat prices had exploded following the start of the Ukrainian conflict. While the situation has changed since then, with a noticeable drop in the price of grain - it exceeded 300 euros per tonne in 2022 compared to less than 190 today - the share of material costs continues to occupy a limited place in the selling price of a baguette (around 15%). The difference is therefore made in volumes, payroll and manufacturing processes. The National Confederation of French Bakery-Pastry (CNBPF), through its president Dominique Anract, did not fail to recall that behind artisanal bread is humans, with labor representing nearly 40% of production costs. Therefore, it is not surprising to observe that the average price of the baguette reaches €1.09 within the artisanal sector, or even €1.20 for the "Tradition", the recipe for which requires more time and know-how. Since 1978, each company has been free to set the price of its bread. This development, which bakers wanted at the time, was the starting point for the appearance of such disparities between the different distribution channels.

A long-standing battle, between the defence of the profession and the purchasing power of the French

The opposition between artisanal bakery and the world of distribution is not new. The dedicated departments within the major retailers have long been singled out, considered a form of unfair competition. Since then, these major players in the daily lives of the French have only represented 9% of the baguette market, according to Dominique Anract's statements to RMC radio. A limited share that still represents significant volumes: on the Lidl side, the 29-cent baguette would represent nearly 100 million units sold per year. Michel-Edouard Leclerc, president of the strategic committee of the brand bearing his name, was delighted, through a publication on the social network X (formerly Twitter) to have been joined by his colleagues in this "fight" in the service of the purchasing power of the French: "So friends of Lidl and Aldi, [...] Thank you for supporting this initiative today. […] A low price on an essential product does not prevent you from having more complex ranges. Making consumption accessible is our business, our mission. To convince, you need markers! Consumers are in favour of these. »

The baguette, a commodity product to be upgraded

When customers are asked about the subject, the plebiscite is more contrasted. The attractiveness of the pricing is enough to generate purchases... But the quality of the product is often recognized as being lower than that of more expensive proposals. This is not enough to turn many consumers away from this bread: the baguette is a convenience purchase for them, and its taste is not a determining issue. Beyond reinforcing the vision of a two-tier bread - with "bread for the rich" and "bread for the poor" on the one hand - such initiatives could contribute to marginalising visits to artisanal bakeries. Everyday bread would therefore become an item of expenditure on which savings would be maximized, while consumers would be inclined to "treat themselves" at the end of the week or for special occasions (parties, birthdays, family meals, etc.). A prospect that would undermine the economic model of most small local businesses.

This shift is made possible by the loss of reference points of a significant part of the population with regard to its food: what is the "right product"? What defines a quality baguette? What are the consequences of repeatedly consuming intensively manufactured bread, with the frequent use of additives and improvers? What is the impact of low prices on the remuneration of upstream agriculture and its ability to work in the service of the environmental transition? These are all subjects on which the wheat-flour-bread sector is trying to raise awareness, through various communication campaigns. On the ground, convinced craftsmen are also speaking out to defend a responsible approach to bakery... But can they carry out what looks like a real fight alone? Beyond pedagogy, it is an educational dimension that could make the difference. Initiatives such as the Edible School aim to raise awareness among young people about food, from the field to the plate. Bread is thus one of the subjects that can be addressed, allowing to give all its value to the product, and by extension to the famous baguette. Among other avenues for reflection, the measurement of the negative externalities - particularly on the health system - generated by this low-cost food could help guide decisions, particularly political ones, towards more sustainable approaches to baking. A vast program to be deployed over the long term... and with much more than 29 cents in your pocket.