Bread Prices Up?

As the Government of St. Lucia grapples with the unrelenting spiral in the cost of food items and the ingredients that are used to make some of the foods we eat, and while St. Lucians call for relief on some food items, the possibility exists that one basic commodity that is used in all households for food may soon be increased.
Bread!
There is a real possibility that soon Government could find itself having to accede to the demands of bakers to increase the price of bread, which is a price controlled item.
Titus Preville, Permanent Secretary in the Ministry of Trade and Commerce yesterday confirmed that the price of bread is presently being considered by Government.
This is being hotly discussed in Government since bakers, earlier this year took a unilateral decision to increase types of bread that were not under price control.
The controlled bread in question is the popular 25 cent Creole loaf, which today has become a necessity for thousands of St. Lucian families.
The Government Information Service (GIS) also confirmed that the price of bread is now officially on the table for Government consideration.
The GIS quoted the Director of Consumer Affairs, Phillip McLauren as saying that his department had in fact received a request from the bakers to adjust the price of two controlled bread items and that this is being reviewed because the cost of making the loaf has increased for the bakers.
Preville said that while Government cannot say much on the issue right now Government will make a statement pretty soon regarding the request by the bakers to increase the price of bread.

The GIS, in an article on its website noted that other Government agencies, along with the Ministry of Trade, Investment and Consumer Affairs and the Ministry of Finance, were expected to convene a meeting in order to discuss the implications of the sizeable subsidy made by Government to cushion food prices.
This year may turn out to be a watershed year for consumers of bread as this may be the year in which they may not become as reliant on bread as they are now since it is very likely that the price of bread and flour, the most important ingredient in bread making, will be increased.
Prime Minister Stephenson King, just three months ago said that Government would continue to subsidize the price of flour. He noted, during his budget address that Government was subsidizing the price of flour at $20 and $14 per bag, to bakers and consumers respectively.
The situation as it regards flour seems to have changed and flour also is being looked at by Government for a price adjustment.
The quickness in the change in Government’s attitude regarding these price controlled items says something about the implications this may have on Government’s revenue.
The GIS, in its article noted that the Director of Consumer Affairs said that there are serious implications for Government revenue if further subsidy is required to avoid an increase in controlled bread items.
If that is the case then it is a certainty that St. Lucians would, in the very near future, find themselves paying more for bread and flour.

(M.G.)