As the inflation rate in Nigeria continues to accelerate, various industries have consequently adjusted to the situation by hiking the prices of their products. The Association of Master Bakers and Caterers of Nigeria (AMBCN) has said that the prices of different sizes of bread will increase by at least 20 percent starting in July. The association began a nationwide strike on July 20th, 2022 to protest the soaring costs of production, which they claimed was fueled by the Russian-Ukrainian war. The association planned to continue their strike action for at least a week in order to pressure the government to remove a 15 percent tax on wheat.
“Although the federal government is yet to respond to our pleas and demands, we are satisfied that we have at least sent a message hoping for a positive result,” Gabriel Bamidele-Adeniyi, Chairman of AMBCN (Kogi State Chapter) told the press. “Unfortunately, as we resume production on July 25th, prices of bread will definitely increase by 20 percent. A bread of N200 will cost between N240 and N250; that of N500 will cost N600; that of N600, N750; that of N700 will cost N880; and that of N800 between N980 and N1000.”
Increase in price of commodities causing increase in price of stable bread.
Mr. Bamidele-Adeniyi assures the public that the increment in the price of bread is not their doing but as a result of the increase in the commodities used in bread production. “We want the public to know that the new increment in process of stable bread is not our making but that of the increase in the prices of commodities that we use in bread production. We want the government to see to it that prices of yeast, sugar, and flour being imported are drastically reduced so that not only three companies have the license to import them. Unfortunately, those three firms are monopolizing the prices of sugar, yeast, and flour to the detriment of bakers in Nigeria,” he said.
As the national body of bakers and caterers in Nigeria declared the strike action, different state chapters decided whether to follow suit or take another approach. Kogi Masters Bakers joined the strike but after weeks of strike, they’re resuming production as well as increasing the prices of their products. Bakers in Abuja said that they had decided not to take part in the strike because they preferred to engage with the government to find solutions. However, they threatened to suspend production if that approach failed.
Residents of Enugu complain about the hike in prices.
Residents of Enugu complained about the warning strike embarked upon by the bread bakers, as its current price had become unaffordable. Some bread sellers said that there had been a 30 percent increase because of the strike. A bread seller, Samson Igwe, said that the price would further increase across the state but that he did not feel his customers will stop patronizing him. “My customers will only reduce the number of loaves they buy but will find it difficult to do away with eating bread daily,” he said.
Nancy Okwuchi, a resident of Achara Layout in Enugu, said that the increase in price will affect the cost and pattern of feeding in many homes. “Sometimes, when there is no food in the house, I prepare tea with bread for my kids as they wait for me to cook. But with the new increase and further increase, it will be difficult to feed the children with bread as usual,” she said. The reasons for the strike included the incessant increase in the prices of baking materials, the need to stop the 15 percent levy on wheat import as well as the need for NAFDAC to review downwards the N154,000 penalty charged to bakeries on late renewal of certificates.
A lot of Nigerians would suffer, says Director of Canaan Delight Bakery.
Meanwhile, in Cross Rivers State, the Masters Bakers did not join the national body in the suspension of production, but they resolved to increase price and reduce the quantity of production to prevent wastage. The Director of Canaan Delight Bakery Nigeria Limited noted that a withdrawal of service was not good for the system because a lot of Nigerians would suffer the lack of bread as a staple commodity in the country. “The planned increment is not even enough. This is because the price of every means of production has increased, from condiments to diesel and all other raw materials. This is a global issue that is not peculiar to Nigeria or materials for baking alone but the price of every foodstuff has increased significantly.”
Related Links
AMBCN (Lagos Chapter): Website
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