The association informs that record-rising wheat prices and its incipient shortage are causing significant rising costs for bakers, confectioners and pasta makers alike. “The current prices at which they supply retailers can no longer be maintained by bakers. It is also the state that has completely excluded bakers from covid with aid,” they claim.
VIDEO The head of the bakers’ association informs about the prices of bakery products:
Lapšanský claims that the directors refuse to negotiate sales prices
“Food wheat prices and their scarcity on the free market, which may also be caused by investor speculation and their commitment to further growth, are causing serious problems for bakers, confectioners and pasta growers. At the same time, they keep their margins at a high level. But bakers were already on the verge of production costs before the pandemic. The current situation is therefore unsustainable. “ said Milan Lapšanský, who is the executive director of the Slovak Association of Bakers, Confectioners and Travelers (SZPCC).
Source: TASR – Martin Baumann
They sold out last year’s harvest in May!
According to the association, food wheat prices are at record levels also due to the reduction of the expected harvest in several countries, including Slovakia. The 2020 harvest was sold out in May. “The Food and Agriculture Organization (FAO) expects lower wheat production worldwide this year due to severe droughts in North America and problematic weather in Russia and Kazakhstan. Baking costs are rising. Autumn and winter may be critical.” Lapšanský explained. The price of grain makes up 70-80% of the cost of flour production.
Source: Gettyimages.com
Did they cough up the bakery sector?
At the same time, the ability of bakers, confectioners and travelers to look for reserves at their disposal was significantly affected by the pandemic and the related, subsequent covid assistance. During it, they had to spend large sums on anti-pandemic measures, which drained virtually all the financial reserves to absorb rising prices. “The state of bakers unjustifiably completely excluded covid from what it has not explained to us or the public so far. As one of the few sectors in Slovakia, we had to bear absolutely all the costs of the pandemic on our own. The state will be co-responsible for , “ can not explain the situation Lapšanský.
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