On Tuesday, the Association of Master Bakers and Caterers of Nigeria (AMBCON) expressed concern about the increasing expenses of baking materials in Nigeria. They emphasized that this issue has become alarming for the industry. Several members of the association conveyed their apprehensions during separate interviews with the News Agency of Nigeria (NAN) in Abuja.
Ms. Peace Izeduwa, who manages Nextar Bakery located in Kubwa FCT, conveyed her unease regarding the escalating costs of key ingredients like flour, sugar, yeast, and other baking materials. She expressed her worry that the mounting production expenses might compel numerous bakeries to shut down. Consequently, she appealed for the government’s intervention to tackle this problem and safeguard the baking industry.
Izeduwa disclosed that the recent 15% surge in bread prices, attributed to higher production costs, had already impacted businesses in the FCT. She attributed this price increase to the removal of fuel subsidies and the unification of the foreign exchange window, which influenced transportation costs and commodity prices.
The Manager further noted that the cost of Mix and Bake Flour, for instance, had risen from N29,500 to N33,750. This price trend was mirrored in other raw materials as well. She emphasized the difficulty for bakery owners to mirror these rapid raw material price hikes in their product prices, unlike manufacturers.
Izeduwa expressed the discontent of bakers with the unprecedented price hikes, especially the recent 15% increase that occurred less than a month prior. She attributed this to the surge in raw material costs.
NAN reported that on July 24, AMBCON had declared a 15% upsurge in bread prices as per a resolution from the National Executive Council (NEC) of the association. The National President and National Secretary of AMBCON, Mr. Mansur Umar and Jude Okafor, respectively, justified this resolution by citing the adverse impact of the current economic realities on bakers’ production expenditures.
Ishaq Abdulrahman, the Chairman of FCT Master Bakers, urged bakers across the country to persevere and keep their businesses operational, despite the challenges. He pleaded with the government to pay attention to the sector, as it significantly contributes to employment.
Mr. Uche Ubani, a baker, reported that as of August 13, the cost of Prime Flour from the company stood at N38,500. Distributors would subsequently add their own margin to this price, leading to a retail price for a bag of Prime Flour in FCT between N39,000 and N40,000. Ubani appealed to the government to intervene and support the baking industry during this critical period.
Disclaimer
The provided information is intended for general awareness and may not be entirely accurate or up-to-date. The post disclaims any warranties regarding the completeness, accuracy, or reliability of the content, services, or graphics on the website. It advises caution when using the information for any purpose.
