Fuel prices have risen sharply since the start of the Iran war on February 28, hitting small businesses and rural communities in France especially hard. Kevin and Sandrine Luce, who own a bakery in Saint-Just-en-Chaussée—a small town about 90 kilometers north of Paris—are finding it increasingly difficult to manage the rising cost of heating oil. When they opened their bakery in March, they paid 2,230 euros for 2,000 liters of heating oil. Last week, they spent nearly the same amount on just 1,200 liters. Kevin Luce explained that initially, using a fuel-heated oven was more cost-effective than an electric one, but the 50% increase in fuel prices has made this no longer feasible.
Across France, there are more than 34,000 bakers producing around 6 billion baguettes each year, with about a quarter of them using oil- or gas-fired ovens. The rising energy costs are creating a significant financial burden, with Luce noting that these extra expenses are effectively lost income, impacting employee salaries, raises, and future investments. In rural areas, where about a third of the French population lives and public transportation is limited, the energy crisis is particularly severe. These regions cover nearly 90% of France’s territory. The so-called yellow vest protests, which were partly triggered by high fuel prices, were especially prominent in these areas and serve as a reminder of past social tensions for current policymakers.
In response to the crisis, the French government has introduced an aid package valued at around 450 million euros to support individuals and industries affected by high fuel prices. This includes subsidies for commuters and financial assistance to help 5.8 million families with their winter energy bills. Martial Realland, who runs a food truck in northern France, is also struggling with rising costs, as diesel prices have increased from 120 euros to 200 euros per tank. He is worried about the potential cost of heating oil for his rented home, which could reach 2,500 euros—a sum he may not be able to afford.
Christine Loir, a far-right lawmaker from the Normandy region, has pointed out that more than 10% of homes in her area use heating oil, which is more common in rural areas for both homes and businesses. She is pushing for reduced taxes on heating oil, as many of her constituents are worried about having to choose between heating and food this winter. Despite these challenges, Kevin Luce has decided not to increase the prices of his baguettes, which remain at 1 euro for a basic baguette and 1.10 euros for a traditional one. He believes raising prices would not help cover the lost revenue and could alienate customers who are already facing financial difficulties.
Fuel Price Surge Challenges French Bakers and Rural Communities
AI-rewritten from original reportingHow it works
fuel-pricesfranceenergy-crisissmall-businessesrural-areasaid-package



