From next Monday a classic will be reprinted: increases the price of bread between 12 and 15% across the country. Thus, in bakeries where a pound of this staple in the basket costs $390/$400, it will be worth $440. However, there is a large price gap, depending on the area. In Capital Federal, the present value is higher: between $480 and $500. By which, the increase will be applied in the same magnitude – it will be around $550.
The measure was “suggested” by the Argentine federation of the bread and related industry (FAIPA) to the bakers grouped in its 18 branches scattered throughout the country. The reasons for the measure are also another classic: increases in inputs such as flour, sugar and eggsamong others.
As explained to Clarin, Miguel Di Betta, president of FAIPA, the decision has to do with “the sharp increases that bakeries are having in their electricity and gas bills, and also in raw materials,” he said.
“Flour increased by 8% 15 days ago and will increase again next week”, exemplified the leader. It refers to the increase established by the Ministry of Commerce in the reference prices without tax for flour at the mill outlet, within the context of the Argentine wheat stabilization fund.
It was with resolution 9/2023 that the portfolio led by Matias Tombolini ordered it the 25-kilo bag of plain 000 flour goes from $1,531 to $1,657 and 0000 flour $1.837 to $1.987. To these prices are added the logistics costs, depending on the region. Meanwhile, the benchmark price for a ton of wheat was $34,257.68.
According to DiBetta, “there are provinces where the subsidized flour arrives and then, they pay the purse between $2,800 and $3,000,” he said. Plus, dairy was also up because of the increase in meat. And yesterday, the box of 30 dozen eggs went up $1,500 compared to the previous price,” he commented.
The problem also extends to sugar. In January of last year, we were paying $49 a kilo. Today, it’s $240. “It’s nearly tripled,” complained the bakery leader.
It is estimated that there are around 30,000 bakeries throughout the country, of which practically half are informal.
Other bakeries in the province of Buenos Aires have also warned that prices will increase starting Monday, but to a lesser extent. They collected 6% for bread and other bakery products.
“Unfortunately, we have no other alternative, given the repeated increases we have suffered in the tariffs of energy, fuel and raw materials,” explained Martín Pinto, president of the Center for Industrial Bakers in the city of Merlo in Buenos Aires.
According to the executive “since October of last year we have not touched the prices but it is unsustainable due to the repeated increases in fuels, tariffs and raw materials,” he said. And she added: “We had to make this determination to continue to take care of our industry, our SMEs and the source of work for bakers”.
According to this group, “with the price increase announced, the suggested price of a kilo of bread will be around Monday betweenthe $460 and $480”. However, there are neighborhoods in the GBA where prices are already higher.
Some of the bakery centers that have adopted the measure, in addition to Merlo, are those of Quilmes, Florencio Varela, Moreno, General Rodríguez, Marcos Paz, Las Heras, Exaltación de la Cruz, Campana and Zárate, among others.
Source: Clarin
