Private bakeries set to slash bread prices across Egypt starting Sunday

CAIRO – 19 April 2024: Starting from Sunday, Egyptians across the country will be able to purchase bread at reduced prices from private bakeries, ranging from LE 0.5 to LE 1.5 per loaf, in accordance with government directives.

The decision to lower prices comes as a result of the decrease in flour prices and followed meetings between Minister of Supply and Internal Trade Ali Moselhi and the head of the General Bakeries Division at the Federation of Egyptian Chambers of Commerce (FEDCOC).

According to Tarek Hassanein, Chairman of the Chamber of Cereals Industry, discussions between chamber members and mill owners have led to an agreement that the price of a ton of flour should not exceed LE 16,000, down from the previous price of around LE 22,000 before Eid Al-Fitr.

As per these agreements, private bakeries will sell bread with a reduction of around 35 percent from current prices, Hassanein said.

The new prices will be LE 1.5 for the 80 gm bread loaf, LE 0.75 for the 40 gm bread loaf, and LE 0.5 for the 25 gm bread loaf.

Additionally, the baguette (feeno) bread will be sold at LE 1 for the 35 gm loaf and LE 1.5 for the 70 gm loaf.

Hassanein emphasized the commitment to maintaining the current price of LE 16,000 per ton of flour.

Despite the increase in flour and wheat prices, the government has continued to provide subsidized bread at a cost of 5 piastres per loaf.

(100 piasters = LE 1)

Private bakeries across Egypt have already begun reducing bread prices due to the decline in flour prices and other local components, in light of the improved economic situation resulting from significant foreign currency inflows.

In recent months, Egypt has released stranded goods worth over $8 billion, including essential commodities, which has contributed to a decrease in commodity prices over the past month.

In March, Prime Minister Mostafa Madbouly announced that the Cabinet had reached an agreement with manufacturers and merchants in the private sector to reduce food commodity prices by 30 percent after Eid Al-Fitr.

He further stated in a press conference on Thursday that nationwide goods prices have decreased by around 22 percent, while basic commodities have experienced a decrease of up to 27 percent.