McDonald’s France and the French poultry sector have signed a 3 year agreement fixing the purchase price of chicken. The agreement is unprecedented in its scale, 3-year duration, and 9,100 tonnes per year minimum
The agreement was signed on the 23 February, 2016, between McDonald’s France and its suppliers of products made from chicken; Cargill Foods France, Boscher Poultry, LDC Group, and Gaévol breeders in partnership with Sanders, in the presence of the French Minister of Agriculture, Food and Forestry, Stéphane Le Foll.
The aim of the agreement is to protect prices from market fluctuations and provide producers, packers and processors with visibility, allowing them to plan for their production and investments.
Le Foll welcomed the agreement. “It is a further illustration of the interest of contracting approaches that bring visibility to farmers,” he said, adding that consumers benefit from quality guarantees.
Over the last 4 years, McDonald’s France has more than doubled its chicken meat supplies from French farms and the share of French supplies is expected to reach almost 2/3 of the company’s total needs in 2016.
“Our intention is to not only develop a quantitative but also a qualitative partnership with the French farmers,” said Nawfal Trabelsi, president of McDonald’s France. “[This] agreement constitutes a major commitment and provides farmers and the entire supply chain with a mutual visibility for several years,” he said.