Consumer Boycott Hits Hard Morocco’s Largest Milk Company
A consumer boycott hit Morocco’s market leader for milk, Centrale Danone, which announced laying off temporary contract workers and a 30% reduction in the amount of milk it collects.
The boycott started 40 days ago and gained large support among citizens. A survey on L’economiste showed that 42% of Moroccans are boycotting Centrale-Danone along with Afriquia gas stations and Les Eaux Minérales d’Oulmes mineral water.
Centrale Danone first reacted in April through one of its marketing officials by accusing the boycotters of being “traitors”. But as the boycott continues, the company issued a statement apologizing for the blunder and slightly lowered prices.
However, as the boycott continues, the company tried to offset the impact by producing more cheese, butter and yogurt. But as it continues to be hurt, it announced laying off temporary contractors.
The milk it collects will also be reduced by 30%, which will impact breeders’ revenues.
The gas and mineral water companies have not yet announced their losses. Observers see that these two companies were not as hard hit as the milk company because their customers are usually well off.