Bangladesh Bakery Association to Raise Prices by up to 20pc

The Bangladesh Bread, Biscuit and Confectionery Manufacturers Association has officially decided to increase the prices of all bakery products by up to 20 percent. According to the announcement, this nationwide price adjustment is scheduled to take effect starting from September 12.

Mohammad Jalal Uddin explained the rationale behind the difficult decision, stating that the overall production cost for bakeries has escalated significantly due to a continuous surge in raw material prices. He noted that because of these mounting expenses, it has become exceedingly difficult for manufacturers to maintain previous production levels and continue marketing their goods at old prices.

Emphasizing the dire situation facing the industry, Mohammad Jalal Uddin issued a stark warning regarding the future of small-scale operators within the sector. He stated that if the government does not provide adequate cooperation and support to the association, small and micro-entrepreneurs could be driven to financial ruin and end up destitute.

Market monitoring data indicates broader inflationary pressures affecting essential commodities across Bangladesh, providing context for the rising cost of production. Official figures show that the price of open flour has risen by 8 percent, reaching 65 to 70 taka per kilogram, while packaged flour has climbed by 10.1071 percent to sell between 70 and 85 taka.

Additional price increases compound the financial burden on food manufacturers and consumers alike. White flour prices grew by 3.16 percent to 48 to 50 taka, open soybean oil increased by 5.3 percent to 190 to 200 taka, and open palm oil went up by 2 percent to 165 to 172 taka per kilogram.

Further compounding the cost pressures are increases in sugar, pulses, and other staples. Sugar prices rose by 4.65 percent to 110 to 115 taka, chickpeas jumped by 10.53 percent to 100 to 110 taka, and lentils increased by 5.6 percent to 95 to 105 taka. Meanwhile, layer chicken eggs rose by 3 to 6 taka per hali to reach 50 to 52 taka, tea prices increased by 20 taka to vary between 350 and 50 taka depending on quality, and powdered milk prices surged by 20 to 30 taka to reach 700 to 950 taka.