Bread may cost more next year – Mozambican Association of Bakers

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Bread may cost more next year – Mozambican Association of Bakers

10:50 CAT | 21 Dec 2016

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Bakers say government subsidy does not cover production costs

Increases in the cost of production may cause a rise in the price of bread in 2017. Bakers argue that the government subsidy only covers flour, “but the price of fuel, vitamins, firewood and other materials involved in the production of bread has also risen, and gets more expensive every day”, Victor Miguel, president of the Mozambican Association of Bakers (AMOPÃO), says.

Bakeries say the situation is critical and that they might even have difficulty paying wages. “The [financial] gymnastics we do every day are difficult. This subsidy is not having the desired effect. We are even struggling to pay for flour. Some mills will not sell on credit and we are forced to pay for flour every day, which is not healthy for an industry,” Miguel says.

In fact, of the 400 associates, only 350 are receiving the subsidy.

Speaking at an end-of-year press conference yesterday, Miguel also reflected on the closure of bakeries by the National Economic Activities Inspectorate.

The National Inspectorate of Economic Activities (INAE) has fined and closed some bakeries in the Maputo for breach of hygiene and safety standards and selling under-weight bread during the past week.

“We are addressing irregularities and our members are already taking into account the hygiene conditions and the pre-set weight of the bread. We are also reassured because we realise that inspection is a necessary activity and is taking place in all economic establishments,” Miguel said.

The bakers’ association says that high temperatures influence the weight of bread. “We all want our bread to weigh the right amount and be bought. However, the heat reduces the amount of water in flour and this causes the bread to weigh less,” Miguel explained.

“It happens rarely, but everyone is aware of the need to meet the established weight,” he added.

Source: O País