Ecuador: Price increase in wheat, diesel, and butter stalk the bakers

Published 2021년 7월 26일

Tridge summary

The article highlights the significant rise in the prices of key raw materials such as oil, fuels, tires, plastics, fertilizers, wheat, palm oil, and maritime freight, with wheat prices projected to further increase throughout the year. The increase in the cost of these essential raw materials is causing a ripple effect on the production costs of various consumer goods, including bread, which is widely consumed in Ecuador. The high demand for palm oil and the impact of pests on plantations have also contributed to the surge in palm oil prices, affecting local industries and consumers alike. In response, bakeries are innovating by offering a variety of bread options at different price points to accommodate different economic needs.

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

Original content

Raw materials have risen so much that there is no product that does not suffer the effects. Oil rises and fuels, tires, chairs, glasses, fertilizers, plastics, maritime freight stand out. And wheat rises, followed by cookies, noodles and pasta, flour, bread. Statistics from the Ecuadorian Association of Millers (Asemol) highlight the movements that wheat has had in this 2021. In April the metric ton was at $ 278 and in June it rose to $ 300. And it is projected that for August it will be at $ 333 and by the end of the year at $ 371. Bread is a food made with different raw materials, but the main ones are fats (such as butter, oil, lard), wheat flour and sugar. These food groups experience a rise in their prices due to phenomena external to the Ecuadorian market. EXPRESO newspaper has told what happens with palm oil and maritime freight. For example, the average price of shipping a standard 20-foot container from Shanghai (China) to the main sea routes of the world was in July 2020 ...

Source: Expreso