New Caledonia's largest food distributor has dropped the price of about 60 basic products by up to 40 percent.
The move by Lavoix comes amid calls by the government to make life more affordable and comes amid a threatened general strike in two weeks over the high cost of living.
Local radio says the distributor has lowered the price of rice from two US dollars a kilo to one dollar 20 and it will now be selling traditional bread sticks for 80 cents.
The surprise announcement also follows last Sunday's May Day march which had focus on the impact of the high cost of living.
