An increase in the price of some types of bread has been observed in the last week. It is particularly noteworthy that “bran baton” breads and other types of dark bread have become more expensive compared to their previous prices. These products are manufactured at the “N1” bread factory and the "Çörəkçi" enterprise.
Modern.az, the price of 400-gram “bran baton” breads has increased by approximately 19-20 qəpik. These types of bread, previously sold for 1 manat, are currently offered in supermarkets for between 1 manat 19 qəpik and 1 manat 20 qəpik. An increase has occurred in the price of other types of dark bread.
However, no price increase has been recorded for white bread types, including the "factory bread" purchased by mass consumers.
Eyyub Hüseynov, Chairman of the Free Consumers Union, linked the price increases in some types of bread to processes occurring in the global market in his statement to Modern.az. He stated that the price of flour has increased globally, and at the same time, certain difficulties have arisen in grain imports to Azerbaijan.
“The ongoing war between neighboring Russia and Ukraine also affects the grain market, leading to price increases. These factors, in turn, affect the cost price of flour and, consequently, bread”.
According to him, the price of bread is generally free, and producers can sell their products at any price they wish:
“However, there is strict government control over products called “factory bread” or social bread to prevent their prices from increasing. The profitability of enterprises producing this type of bread is currently very low”.
The Chairman of the FCU believes that the government should implement additional support mechanisms for factory bread producers:
“Conditions should be created so that these enterprises are partially exempt from the tax burden and the production of inexpensive social bread can continue. In fact, their prices should also be free”.
Eyyub Hüseynov added that the price increase in the global market is not the only factor affecting the rise in bread prices:
“Market chains demand high payments from bread producers for shelf space, and the costs of various campaigns are also imposed on suppliers. Furthermore, transportation costs and fines during the distribution process also affect the cost price. According to my information, some producers have to pay 2-3 thousand manats in traffic fines per month, which creates an additional financial burden".
He also emphasized that it is normal for the prices of other types of bread to change in a free market environment. However, there should be special state care to keep the price of socially important factory bread stable, so that there are no increases.
We addressed an inquiry to producers regarding the reason for the price increase in dark bread types. However, although we contacted the “N1” bread producer, our inquiry was not answered.
