Grocery giant Carrefour will stop selling Pepsi products in France, citing “unacceptable price increases”.
The supermarket started putting up signs in stores on Thursday to inform customers of the decision, which will affect products such as Pepsi soda, Doritos and Quaker cereals.
Pepsi said it would continue to try to negotiate in “good faith”.
The spat comes as France continues to grapple with food prices that are rising uncomfortably quickly.
The most recent report from the government statistics agency estimated that food prices rose 7.1% in December from a year earlier.
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