Leading bakery Baker’s Inn has slashed the price of bread in response to government’s intervention on the supply side of wheat.
Ngoni Mazango CEO Baker’s Inn said: The government supplied millers with subsidsed wheat which by and large reduces the price of flour. In response to his development, Bakers’ Inn has decided to extend the benefit to the consume despite the escalating costs of other inuts like power, diesel, local and imported raw materials.
Baker’s Inn bread as from Tuesday 29 Ocrober reduced its wholesale price from $14 to $13. The recommended retail price is between $14 and $14.50.
Consumers were having to pay as much as $15.75 in the last weeks.
“This price will hold as long as Baker’s Inn hae the subsidised flour,” said Mazamnga.
The bakery industry is a critical part of the Zimbabwean economy, accounting for 2.5 percent of nominal gross domestic product. It directly employs 3 500 people.
In 2014, bread output grew by over 20 percent mainly driven by capacity revamping and expansion of local bakeries. Bakeries which ramped up capacity include Bakers Inn, which added two bread lines and Lobels.
Local millers supply over 80 percent of the flour requirements.
Bakers Inn has a national footprint in terms of bread distribution. Bread is a staple food in Zimbabwe, and is the very first meal of the day for most homes.