Bakeries in Argentina warn that the price of bread will rise after the Government authorized updating the value of flour

Published 2022년 8월 26일

Tridge summary

The bakery industry in Argentina is opposing a government decision to increase the price of flour by 4%, arguing that it will lead to higher bread prices at a time of coronavirus and economic crisis. The cost of flour makes up half of the bread's value, and bakeries are struggling with other expenses such as electricity, gas, and employee costs. The bakers are also facing reduced sales due to the pandemic and are considering dialogue with the government to address their challenges. The article also highlights that the cost of wheat has increased since March, despite the flour price remaining the same, and that the bakery industry is facing challenges due to shifts in sales to mass consumption during the pandemic.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The bakery industry came out with the top caps against the Government after the Secretary of Domestic Trade authorized on July 15 the 4% rise in the value of flour, the main raw material for bakers. They assure that it is inappropriate to increase the price of bread due to the context of coronavirus and the economic crisis. One of those who warned about the situation was Gastón Mora, head of the Avellaneda Chamber of Bakers, who warned that "there are many bakeries that have stock but with the new orders the increase will begin to be applied," he said. As he explained, the increase in flour means between 50 and 100 pesos per 50-kilo bag, depending on the brand. “A bakery consumes 100 bags per week, which is up to 40,000 pesos more per month. It is inevitable that it affects the price”, he warned, adding that the value of a kilo of bread currently varies between 90 and 140 pesos, depending on the area. But he stressed that it will be difficult to transfer the entire increase to the ...
Source: Clarin

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