Bakers under the aegis of the Premium Bread-Makers Association of Nigeria (PBAN), have disclosed that the prices for the food staple may go up because of the rising energy costs and increasing forex rates.
In an interview where he made this disclosure, PBAN President, Emmanuel Onuorah said bakers are now operating under harsh economic conditions, adding that the situation is worrisome, such that it is crippling the break-making business.
He said, “Companies are shutting down their businesses as a result of the increase in the price of diesel. Some of my members shut down (their business premises) again this week. So many other companies are closing down.
“As we speak, operators in the sachet water business segment are on strike. They’ll likely increase the price of sachet water to N25 or N30. We don’t even know where this thing is tending towards. Bigger companies are closing because of operating costs. Businesses are going under.”
According to Onuorah, wheat suppliers have suggested a possible scarcity of the product within the next two weeks, indicating that the price of bread may go up significantly.
“Hospitals now have to ration diesel. Energy is the key. We understand that in two weeks’ time, there will be a scarcity of wheat and the millers will raise their prices to N30,000 or N40,000,” he added.
Rice and bread prices highest in five years -NBS
The National Bureau of Statistics (NBS), in its latest report, the average prices of bread and rice in Nigeria have been recording significant increases in the past five years.
A year-on-year analysis of the average prices from January 2017 to January 2022 based on data from the NBS shows that bread (unsliced, 500g) and rice (Agric-sold loose rice) recorded 42% and 48% price hikes, respectively.
As of January 2017, the average price of a loaf of bread (unsliced, 500g) was N270. It, however, increased to N384 by January 2022. There was also an increase in the price of sliced bread (500g) from N303 as of January 2017 to N419 as of January 2022.
