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News
March 29, 2003

French companies weather US boycott calls

NEW YORK (AFP) — French companies on US soil say they have felt little effect from a boycott of French products called here by conservatives bent on punishing France for its opposition to the war on Iraq.

Still, after denying any adverse impact on sales, French businesses that spoke with AFP had sharp words for those behind the boycott, saying the appeals to patriotism could backfire on the Americans, given the large number of US citizens they employ.

“Our cements are very much local products, made locally with and by US employees,” said a spokeswoman for Lafarge, whose North American affiliate brings in more than 30 per cent of sales.

According to the business community and the French government, boycotting French firms in the United States would hurt companies that employ some 500,000 US workers.

However, many French businesses have brand names in English, shielding them from anti-French pique.

Take Pernod Ricard, which sells whiskeys and gins bearing British names. Or the Accor group, whose “Red Roof Inns” and “Motel 6” are part of the American landscape. And Vivendi Environnement, doing business as US Filter.

Then, there’s Danone, whose yogurt was rechristened “Dannon” so that Americans would pronounce the name as it is said in Paris, the company explains on its website.

To be on the safe side, Danone has told its US employees not to speak with the press, according to a company source who spoke on condition of anonymity.

Even some US companies are worried that they might fall victim to the boycott.

Last week, French’s mustard issued a statement meant to dispel all doubts about its American origins.

“For the record, French’s would like to say there is nothing more American than French’s mustard,” the Wayne, New Jersey company said, noting that the brand made its debut at the 1904 World Fair, alongside that most American of foods, the hot dog. The company did not say whether it had experienced a drop-off in sales in recent days.

French leaders in luxury goods would say little on the matter, but did insist that business has not been affected.

“Sales are not off,” is all they would say at Bourjois cosmetics.

Some businesses said it was, in fact, still too early to measure the impact of calls for the boycott launched on the eve of the week-old war by the conservative NewsMax.com in newspaper ads.

“Our available sales figures cover up to February and do not show any drop in sales,” Pernod Ricard’s US public relations director, Sandrine Ricard, said.

“We are in an industry with long-term contracts — five or 10 years — and that can’t be undone overnight,” said Vivendi Environnement communications director, Anne-France Malrieu.

Dozens of businesses and products to be shunned which NewsMax.com has listed on its website include Air France, Michelin, Sofitel, Tefal, Givenchy, Lancome, Club Med, Peugeot, Publicis, Elle and Yoplait.

The French trade ministry said last week that the calls for a boycott appear to have had little effect so far.

“These isolated calls have not had marked consequences on the purchase of French products in the United States. That does not mean, however, that a few contracts may not fall victim” to boycotts, the ministry said in a statement.

One company that didn’t make the NewsMax.com list, Sodexho, was the one that came closest to feeling the pain of war.

US lawmakers wanted the Pentagon to pull a contract with Sodexho to feed US Marines. The Marine Corps, however, has said it would honour the contract despite the lawmakers’ concerns.

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