Ecuador: The price of bread in the country is set by each bakery

Published 2021년 5월 25일

Tridge summary

The Union of Bakeries of Ecuador planned to increase the base cost of bread due to rising raw material and fuel costs, but stopped after a warning from the Superintendence of Market Power Control. The control organism reminded bakeries of the law prohibiting price manipulation and advised them to set their own bread prices. A study by the Spurrier Group found that the international market price of palm oil and wheat has significantly increased in 2021. The Union is planning to meet with the new president, Guillermo Lasso, to find solutions. At Los Arrayanes bakery, the owner decided to maintain the base price of 12 cents due to the economic situation and to keep customer loyalty.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Finally, May 24 arrived and the market is the one that sets the price of bread. The Union of Bakeries of Ecuador had planned to raise the base cost of the product since yesterday, from 12 to 20 cents, due to the increase in raw materials such as butter and oil and inputs such as diesel, a fuel that is used to operate ovens. The sector stopped its intentions after the warning of the Superintendence of Market Power Control. The control organism exhorted the bakeries to observe the Organic Law of Regulation and Control of Market Power, especially with regard to the prohibition of conducts such as the concerted fixation or manipulation of prices. The Superintendency assured that the law prohibits and sanctions the existence of any type of collective agreement, decision or recommendation, such as behaviors harmful to economic competition. Due to this warning, every bakery in the country currently sets the price of bread, assured Elizabeth Campuzano, president of the Pichincha Bakery ...

Source: Expreso