SAINT-JUST-EN-CHAUSSÉE, France — The lights of the small bakery flicker on in the early morning darkness as Kevin and Sandrine Luce fire up their oven to 270°C (518°F) to give their latest batch of baguettes a crunchy crust.

When the couple first heated their store in Saint‑Just‑en‑Chaussée, a town about 90 km north of Paris, in March, they paid €2,230 for 2,000 L of heating oil. Last week the same amount of money bought only 1,200 L, a sharp reduction that reflects the rising cost of the fuel.

Fuel prices have surged since the Iran war began on Feb. 28, delivering a severe blow to the Luces and to many other small businesses across Europe.

“Initially, a fuel‑heated oven was more economical than an electric one,” Kevin Luce said. “That was until the price (of fuel) increased by 50 %. So, yes, now it’s not a good deal.”

France’s bakers produce roughly 6 billion baguettes a year, and about a quarter of the nation’s 34,000 bakeries rely on oil‑ or gas‑fired ovens, according to the national federation of bakeries and patisseries.

As customers filed through the bakery for their morning bread and pastries, Luce told The Associated Press that “all this superfluous expenditure on energy represents a loss of earnings. It’s salary we can’t take, it’s salary increases we can’t give to our employees. It’s investments we can’t make.”

Although the energy crisis hurts economies globally, it is particularly painful in rural France. About 21 million people—roughly one‑third of the population—live in the countryside and often depend on cars because public transport is limited. Rural areas make up nearly 90 % of France’s territory.

The so‑called yellow‑vest protests that rocked President Emmanuel Macron’s first term took root in these rural towns, where fuel prices were a trigger for the anger. The memory of those demonstrations now looms as soaring costs stir fresh anxiety.

The French government announced a new aid package worth €450 million for people and businesses hit by high fuel and heating costs. It includes subsidies for commuters who travel at least 15 km to work and winter‑energy vouchers ranging from €48 to €277 to assist 5.8 million families.

Martial Realland sold his home to launch a food‑truck business in the Oise region, driving from village to village to sell ham‑and‑cheese pancakes, fries and other snacks. Diesel now costs €200 per fill, up from €120 before the Iran war, and his heating‑oil bill could reach €2,500 this winter, compared with €1,600 last year.

“It really hurts,” he told the AP. “It’s catastrophic.” He is already turning down jobs that require long drives because the diesel would not make the work financially worthwhile, and he fears the upcoming heating bill.

Christine Loir, a lawmaker from Marine Le Pen’s National Rally, said more than 10 % of homes in L’Eure, the Normandy region she represents, use heating oil. The soaring prices have left many unable to afford alternative heating systems or better insulation. She is lobbying for lower taxes on heating oil, noting that some constituents may have to choose between heat and food this winter.

“People are extremely worried,” Loir said. “People say that if fuel prices don’t come down, they’ll stop going to work, they can’t cope.”

One small comfort for the Luce bakery’s customers is that bread prices remain steady: €1 for a basic baguette and €1.10 for a traditional one, despite the higher fuel costs.

“I won’t change my price,” he said. “It wouldn’t be of any help. It wouldn’t soak up the lost revenue and it would be counterproductive, because our customers would feel betrayed. They shouldn’t have to pay more. They’re already paying enough at home.”

Mike Corder in The Hague, Netherlands, contributed to this report.

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