Agony as costs of flour, sugar, electricity threaten $621m bread industry

Technology News

Breadmakers Association of Nigeria,, and the Association of Master Bakers and Caterers of Nigeria, AMBCN, have cried out to the Federal Government over the worsening business climate, which they said could kill the $621 million industry in Nigeria.

Complaining about the rising costs of flour, sugar and other baking ingredients, fuel and electricity, they said they were getting to a point they can no longer produce.

At a briefing on Thursday, they said: “Data has shown that about 70% of the flour consumed in the industry goes into bread production.

It is, therefore, expedient for the Federal Government of Nigeria to do everything within its means to ensure that the industry does not die as we can’t breathe any longer.

“Our businesses have become comatose due to the incessant increase in the prices of baking ingredients, and our inability to pass on the cost to the Nigerian consumer.

Profit in our line of business has been wiped out completely. Capital injection through loans and equity investments have been pumped into a lot of these businesses and repayments are no longer possible due to the prevailing situation in the industry and the economy as a whole.

”While we acknowledge the challenges the ghastly COVID-19 pandemic has thrown the entire world into, and we are not oblivious of the difficulties ahead, we call on the Federal Government to come to our aid as we can no longer breathe.

Source: Vanguard 

Leave a Reply