The French Government has issued a draft decree reclassifying warehouses used by ultra-fast delivery services as retailers, after the popularity of the model gained during the pandemic, in spite of unfair competition allegations. As ultra-fast delivery services in France boomed in the wake of the pandemic, little warehouses became ubiquitous across French cities, storing goods to be delivered to consumers as quickly as possible.

Despite much resentment from government officials, retailers, and ordinary citizens alike, the French government is preparing a draft decree which would reclassify these 'dark stores,' now considering points of collection for purchases made online as retail outlets, rather than warehouses. The legality of these warehouses has long been a subject of controversy. Managers may neglect to file formal applications when occupying the premises of old warehouses, or to apply for the change of destination of place when the warehouse occupies commercial premises, as highlighted by Usine Digitale.

They are often considered as unfair competition for retailers, as well as a nuisance for locals, due to the noise pollution caused by their activities, as observed by First Deputy Mayor of Paris, Emmanuel Grégoire. The reclassification proposed by the draft decree would make it much harder for French city councils, longtime opponents of the warehouses, to restrict their growth. 68% of the country’s 'dark stores' being located in the Greater Paris region (according to figures from Knight Frank), the city council is showing stiff opposition to the move.

Emmanuel Grégoire expressed ‘much concern and incomprehension’ at the project, and said that Paris warehouses must be relocated to sites which did not inconvenience citizens. Olivia Grégoire, Minister Delegate for Small and Medium Enterprises, Trade, Crafts and Tourism, said she would ensure the protection of the retail trade despite the move. Olivier Klein, Minister Delegate for the City and Housing, said the concerns expressed by Paris were 'welcomed' and insisted that the 'balance between the vitality of city centres and employment' was key to the project.

In June 2022, Toulouse voted to install zero-dark-store zones, citing concerns about the working conditions of employees, urban aesthetics and noise pollution. The boom of quick-commerce across France and Europe Research by Knight Frank shows that the number of dark stores in France jumped fourfold between Q1 and Q4 last year, and that French q-commerce’s turnover is currently EUR 120 mln, with roughly 10 specialised companies operating in the sphere in France. While they operate predominantly in the biggest cities (e.

g. Lille, Marseille and Paris), they are spreading elsewhere, to cities like Reims and Montpellier. The onset of the pandemic saw a meteoric rise of quick-commerce in Europe.

In Western Europe alone, Euromonitor highlighted the battle between 30 companies in the sphere in September 2021, mostly grocery-focused. A total of USD 4. 5 billion was invested in grocery delivery services in Europe in September 2021.

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