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Baked goods prices hiked

By Trudy Simpson, Staff Reporter

JAMAICANS WILL have to dig deeper into their pockets today following an increase in the price of flour and a spin-off rise in prices for baked products.

The prices for breads, buns, bullas, cakes and other delicacies have been increased by between seven and 10 per cent, depending on the bakery, explained President of the Bakers Association of Jamaica (BAJ), Jerry Chambers.

Consumers will now fork out extra dollars ranging from an average low of $4.90 to a high of $7.00 for a loaf of bread which, for example, now costs $70.

One bakery manager explained that a two-pound loaf of bread would increase from an average of $45 to $48.50. The level of the price increases would depend on costs per loaf set by individual bakeries.

Mr. Chambers said that prices for the ingredients and other input used had steadily climbed but those increases were absorbed by bakers. But, they could no longer absorb increases in their major ingredient, flour. The bakers were informed on Friday that the new flour price would take effect yesterday.

"Flour was the last straw. The only thing that hasn't been going up is flour. Fuel has been going up for the past two years since bread was increased, so has shortening and packaging and electricity. All the inputs apart from flour and sugar went up and see, today, flour has gone up, so it's obvious that we have to take a price increase," Mr. Chambers said.

He said that average cost per 45 kilogram or a 100lb bag of flour ranged between $905 and $970. Bakers had been paying between $855 and $880, previously, he said.

The prices for both baking and counter flour have been increased by seven and a half per cent.

James Gill, Managing Director at Jamaica Flour Mills (JF Mills), explained yesterday that the company had taken the decision to raise flour prices because raw materials, such as wheat, had increased by 30 to 50 per cent.

"We're doing our best to use all options we have to keep our prices as low as possible," Mr. Gill said.

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