The Premium Bread Makers Association, representing bakers, has challenged the assertion made by flour millers that the price of flour has remained unchanged in the past year. Meanwhile, the Association of Master Bakers and Caterers of Nigeria has announced that bread prices will be increased by 15 percent nationwide starting from July 24.
Emmanuel Onuorah, President of the Premium Bread Makers Association, stated that the devaluation of the naira prompted flour millers to implement a price increase for flour. He further explained that the rising input costs in recent months have added to the challenges faced by bakers, who are already grappling with various macroeconomic difficulties. Onuorah highlighted that many members of the association have been forced to abandon the breadmaking business due to these ongoing challenges.
According to Onuorah, flour millers have been engaging in price gouging and have taken advantage of the situation. Previously, they claimed to source foreign exchange from the black market, but it was revealed that they were actually obtaining forex from banks after the official window was removed by the government. Onuorah also alleged that flour millers plan to implement a phased increase in the price of flour, with an initial addition of ₦2,000 and the possibility of a further ₦3,000 increase at a later time. Additionally, he noted that the price of sugar has surged by ₦10,000 per 150kg bag in the past three months.
The recent removal of fuel subsidies and the devaluation of the naira have substantially raised the overhead costs for breadmakers, forcing them to operate below optimal capacity.
When approached for comment, Saliu Olalekan, the General Secretary of the Flour Mills Association of Nigeria, declined to address the matter, stating that the association does not involve itself in discussions concerning product prices.
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