CARREFOUR exits Algeria

February 19, 2009 |

Planet Retail 19 Feb 2009

Carrefour and the Algerian group Arcofina have ended their partnership agreement, less than two years after being established, Carrefour said. "The concept of mass distribution does not work in Algeria," added Carrefour.

"We had a Carrefour franchise, but given the development challenges that we met, we have ended by mutual agreement this partnership," said Abdelouahab Rahim, CEO of Arcofina. The partnership between the two groups began in 2006, but only one supermarket opened of 18 planned by 2012. The private group Arcofina explained the delay to difficulties in finding available land to open hypermarkets. The partnership has also been undermined by difficulties in ensuring a continuous flow of stock into the supermarket, according to press reports, which also raised strong competition from local traditional shops.

Average rating

(0 votes)