The Anti-Inflation Act of November 17th, 2023 brings forward to January 2024 the deadline by which commercial negotiations between manufacturers and distributors must have been concluded. The objective of this measure is to allow consumers to benefit from a reduction in prices as early as possible in the year, i.e., as early as January.
Reminder: In principle, each year, commercial negotiations between manufacturers and retail professionals must take place between December 1st and March 1st.
More specifically, the deadline is set for:
- January 15th, 2024, for small and medium-sized or medium-sized manufacturers, i.e., those with a turnover of less than €350 million, and the agreement concluded will take effect on January 16th. It should be noted that they had until November 21st, 2023, to communicate their general terms and conditions of sale to distributors.
- January 31st, 2024, for large manufacturers, i.e., those with a turnover of €350 million or more, and the agreement will take effect from February 1st. Bearing in mind that they must communicate their general terms and conditions of sale to distributors before December 5th, 2023.
If negotiations fail by January 15th or January 31st, 2024, depending on the case, suppliers will be able to either terminate the business relationship with the distributor or request the application of a standard notice period. The parties may also choose to refer the matter to the Agricultural Trade Relations Mediator or the Business Mediator in order to conclude, before February 15th or before February 29th, 2024, as the case may be, an agreement setting out the conditions for a notice period taking into account, in particular, the economic conditions of the market.
Please note: Retail chains that do not meet these deadlines (January 15th or 31st, 2024) will be fined up to €5 million.
