Since I have been leading Carrefour, I have had the honor of being regularly, almost annually, summoned by various parliamentary committees. To be honest, I am both happy and a bit concerned by these hearings—happy for the exchange with you, concerned because I systematically see a temptation to cast suspicion on the practices, strategies, and margins of retail. I sometimes feel that through these successive works, very specific to France, you have before you someone present in about forty countries. I believe I have never been summoned, nor any of my country directors, before any parliamentary commission elsewhere, yet there are parliaments there too. Too often, retail is demonized. I regret that we never focus on the future of French retail, its strengths, its role, its difficulties, which would be both useful and more essential. Retail is a sector with emblematic French companies. It deserves, like all others, the consideration of public authorities and the national representation. After this preliminary observation, I will proceed in two parts: first, recalling some elements specific to the sector and particularly to Carrefour; then, making some remarks on what seems to be the core of your reflections. In a sector undergoing profound changes, Carrefour, the last French retailer with international ambitions, aims to place itself at the same level as its global competitors. The sector faces increased competitive intensity due to market polarization, new entrants in food and non-food, and a trend toward discounting. Consumer behavior is very cautious after hyperinflation, leading to unprecedented pressure on margins and volumes. Political and macroeconomic uncertainties raise the savings rate and discourage consumption. This is the reality of the market today. What has changed in retail in a few years is that historic French brands, national champions, are suffering greatly. I am often surprised that public authorities do not pay much attention to this unprecedented evolution of a sector whose activity is both non-relocatable and major in terms of employment. In this context, Carrefour, the last French retailer with international ambitions, operates 15,000 stores in over 40 countries with more than 500,000 employees. The group is 67 years old. I have just launched a new strategic plan for 2030 around three areas: our customers (improving offer, price investments, fresh plan, product innovations, CSR commitments), our stores and e-commerce (with strong investments in our territories), and technology, particularly artificial intelligence, where our group already has a lead and intends to continue investing for smarter and more efficient stores. During the questions, I will be happy to provide details. One of the objectives of this strategic plan, and I fully assume it, is to improve Carrefour's margin. When I say margin, it is singular. Carrefour is a listed group. Our accounts follow strict rules, are public and transparent. There can be no opacity. My margin is known, much lower than in other sectors. My net profit is less than 1% of revenue, ten times less than manufacturers. Why this ambition to increase margin? Simply because in the international competition, Carrefour is not at the level of its great competitors like Ahold, Tesco, Walmart, which have margin rates about double ours, without anyone in their countries questioning their margins or opposing their profitability to farmers or manufacturers. This is unique to France. This leads me to observations on the core subject: the role of retail in price formation and remuneration of value chain actors. The heart of the debate is always the same: an equation easy to pose but extremely difficult to solve. Retail is asked to control consumer prices (for purchasing power), to properly remunerate producers (to secure supply), and to guarantee quality. We try to reconcile this every day. With nearly 9 years at the head of Carrefour, it is always retail that is solicited according to priorities. In deflation, during Egalim 1, the focus was on producer remuneration. Carrefour applied the text without hesitation, even though the limitation of promotions affects our hypermarket model. During Covid and the Ukrainian crisis, retail was again solicited to secure supply. Carrefour and the sector responded, including helping agricultural sectors. Egalim not seeming sufficient, the legislator intervened to require contracts protecting agricultural raw materials. Again, retail applied this. But where is the contractualization upstream? How are the first-level contracts between industry/processor and farmer, which would allow transparent negotiation between supplier and retailer fully protecting agricultural raw materials? With hyperinflation, we were asked to refocus on customers. We had already taken initiatives. We accepted anti-inflation baskets and the reopening of commercial negotiations, legally completed, to account for rising raw materials, which industrialists firmly refused when prices fell. Today, hyperinflation has ceased, but our compatriots are still under the shock of a 25% increase in food prices, which retail alone was able to contain. Yet it is suggested that retailers operate with undue margins, that they abuse, that they have a deadly behavior. I tell you, this is neither serious, nor responsible, nor very respectful of our profession. The permanent commitment of retailers to reconcile purchasing power and fair remuneration of upstream should not be doubted, nor our support for all public policies. I want to conclude with a strong personal conviction. For 30-40 years, commerce has been subject to legislative intervention. The temptation to intervene in prices and the free play of private actors remains much too strong in France. No other country outside political regimes that no one wants to copy knows this permanent temptation. Commerce can only flourish in freedom: freedom to choose products, to negotiate, to set prices. The final arbiter is the customer. The failure of an assortment, negotiation, or price is seen in our stores. My only message is: leave freedom to private actors, give the sector air, stop regulating at the request of some. At Carrefour, we believe that only contractualization, not overregulation, can end the distrust that some seek to install. Thank you.
