How Did the Union of Bakeries Justify the Increase in Bread Prices?

The head of the Union of Bakeries in Lebanon, Nasser Surrour, commented in a clarifying statement on the recent increase in bread prices, which rose by 5,000 Lebanese pounds, reaching 70,000 LBP instead of the previous 65,000 LBP.

Surrour noted that the price and weight of bread are monitored monthly through a shared platform between the Directorate of the Office of Grains and Sugar Beets at the Ministry of Economy and the Secretariat of the Union of Bakeries in Lebanon, where production costs are regularly reviewed according to fluctuations in raw material prices, the exchange rate, and market conditions.

He added that regional developments and the ongoing war between the United States, Israel, and Iran have caused a significant increase in global oil prices, which directly impacted production costs in the bakery sector, particularly diesel and essential materials such as nylon and packaging. He noted that the price of a ton of diesel rose sharply, from around $675 to nearly $1,000, putting substantial pressure on daily bakery production costs.

Surrour emphasized that the Minister of Economy and Trade, Dr. Amer Al-Basat, and the Union of Bakeries were keen not to pass the full cost onto consumers due to the difficult economic conditions and regional conflict. The agreed-upon price adjustment was limited to 5,000 LBP, alongside an increase in the weight of a bread loaf from 810 grams to 840 grams, with bakeries absorbing the majority of the cost increase to ease the burden on citizens during this critical period.

He stated that this measure is temporary, intended to navigate these challenging circumstances.
Surrour confirmed that once oil and raw material prices decrease, bread prices will automatically be reduced to reflect the new production costs. He also thanked Minister Al-Basat for his diligent oversight of the emergency plan, which has ensured the continuous availability of bread in the market despite complex security and military conditions and the destructive regional war. He praised the minister’s role in establishing an operations room to monitor economic and food developments across various sectors.

Surrour also expressed gratitude to the Director-General of the Office of Grains and Sugar Beets, Issam Abu Joudeh, for his daily follow-up on the emergency plan in cooperation with bakeries and mills to ensure stable flour and bread production in Lebanon.

He stressed that the Union of Bakeries continuously monitors complaints in coordination with the Ministry of Economy and the Consumer Protection Authority to protect bread from monopolization or manipulation and to ensure compliance with official prices and weights.

He concluded: “May God protect Lebanon, its people, and their livelihoods from all harm and destruction.”