Magnus Groth, CEO of Essity Essity
INTERVIEW – The boss of Essity explains why manufacturers of consumer products cannot lower prices.
According to the boss of the Swedish hygiene products giant (Lotus, Okay, Nana, Tena, Demak’Up), the uncertainties are too high to consider price reductions.
LE FIGARO. – Energy and commodity prices are falling. Will manufacturers be able to p it on in their prices?
Magnus Groth. – You have to put things in perspective. Last year, the rise in the costs of energy, raw materials and transport was the strongest we have ever seen. At Essity, this represented 2.6 billion euros in additional costs, an amount greater than our profits the previous year (1.2 billion). We had to compensate to avoid losses. Admittedly, these costs have been falling since April, but only in comparison with the first quarter, when they were at their highest.
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