Bread Prices Could Jump By 20% Within Weeks

Namnews, 23rd November 2021

Industry watchers have warned that the price of bread and other bakery products could increase by at least 20% in the coming weeks after wheat prices hit a nine-year high.

The price of bread wheat has risen by 26.7% in the past year due to increased demand and a spike in costs.

Alice Jones, an analyst with agricultural body AHDB, said: “Global wheat prices keep climbing each week on the back of supply concerns, and UK prices are following global trends. As long as global prices keep rising there is scope for domestic prices to keep rising.”

While some of the higher costs may be absorbed by manufacturers and retailers, experts say higher price tags are now likely.

“Energy pricing is also on the rise, while HGV driver shortages and recruitment are resulting in increased wage rates,” said Gordon Polson, CEO of Britain’s Federation of Bakers.

Allied Bakeries, which owns Kingsmill, said the industry was “exposed to inflationary pressure in relation to the cost of flour, as well as the gas we use in our ovens and fuel for our delivery fleet.”

The rising cost of wheat has also been impacting pasta prices in recent months.