|
|
The French Ministry of Economy has sued the wine producer LaCheteau for unfair business practices. The market leader for wines from the Loire Valley allegedly pressured purchase prices for grapes and must to reduce its production costs. The company now faces a penalty of 6.6 million euros.
The French Directorate General for Competition, Consumer Affairs and Fraud Control (DGCCRF) examined LaCheteau's supply contracts between 2020 and 2021. The result: From 2016 to 2018, LaCheteau allegedly demanded massive discounts from 44 grape suppliers according to the DGCCRF. This would have subsidized LaCheteau's wine production. However, this violates French commercial law: The production costs must be borne solely by the producer. The advantages that LaCheteau gained "disturb the balanced economic development of producers and traders and impair the loyalty of these relationships," explained the DGCCRF.
The authority is under the Ministry of Economy. Therefore, the ministry filed a lawsuit with the Commercial Court of Rennes. The demanded penalty corresponds to three times the amount that LaCheteau unlawfully withheld over three years, according to the DGCCRF.
LaCheteau collaborates with 450 winemakers throughout the Loire Valley and operates six wineries. The company produces white, rosé, red, and sparkling wines, 60 percent of which are exported. The annual turnover in 2024 was around 120 million euros. Since 2012, LaCheteau has been part of the wine group Grands Chais de France (GCF), one of the three largest producers in the country.
In a press release, LaCheteau confirmed the court summons but explicitly denied the allegations. "The criticized practices are common, historically permissible, known, and accepted by the entire wine industry. These contractual provisions cannot be equated with abusive practices when applied transparently and fairly," emphasized the company. In the court proceedings, LaCheteau intends to present its "statement in accordance with legal procedures.".
(cs / La Revue du Vin de France / Le Figaro / Le Vigneron du Val de Loire / La Nouvelle République / Agri Mutuel / Ouest France)
More on the topic: