French supermarket giant Carrefour is reviewing its operations in Belgium, which could lead to the sale of its Belgian division.
The decision follows years of financial losses, with Belgium no longer considered a priority market for the company.
Carrefour recently announced plans to focus on three key markets: France, Spain, and Brazil. Belgium was notably absent from the communication, signalling potential divestment as the company looks to exit non-priority countries.
This development carries substantial implications, as Carrefour is the third-largest supermarket chain in Belgium, behind Colruyt Group and Delhaize.
Its presence includes 40 large hypermarkets, 440 Carrefour Market supermarkets, and 300 Carrefour Express convenience stores.
Most of these outlets, except for hypermarkets and 43 supermarkets, are operated by independent franchisees. Across the country, Carrefour employs 10,000 people.
Carrefour has faced challenges in Belgium for years. Its annual turnover has hovered around €4 billion, even during periods of inflation, which implies a decline in sales volumes despite higher prices.
Profitability has also taken a hit, with the Belgian division reporting operating losses since 2021. Although losses have decreased recently, the company still recorded a €2.9 million shortfall in 2024.
Union secretary Wouter Parmentier of ACV Puls reacted to the news by saying that the potential sale is not unexpected, citing similarities with the situation in Italy.
In both countries, Carrefour has not invested in modernising stores, leaving many outdated, alongside unpromising financial figures in Belgium.
Employees are highly concerned, says Parmentier. Many Carrefour workers have been with the company for years, and a potential sale would come as a shock to the loyal workforce.
Despite the concerns, Parmentier believes there will be enough interest in Carrefour's Belgian branches from other retailers. He emphasises that unions will closely monitor negotiations to safeguard wages and working conditions.
