Bread will be more expensive in July
The government will compensate the flour price
The state monopoly on grain has finally ended. Here are the reasons that will bring the latest increase
TIRANË — (F.B.) — The price of bread will rise from 1 July, although the government had previously promised that “in spring bread would not become more expensive.” The price increase will be due to the removal of the state monopoly on grain imports. Adi Shkurte and the Council of Ministers decided at the beginning of last month to liberalize the grain and flour market. Previously, the collection and trade of grain was done only by the Collection Enterprise. Now traders and private companies can buy grain within the country and import it on their own account. The price of flour for the population will be subsidized until the end of the month, but in order to keep the price of bread unchanged this can no longer continue.
But the amount of bread grain left in storage is running out. The Ministry of Agriculture says that around 20,000 tons of grain are needed for the month of July. Meanwhile, only 3,000 tons have been bought by private companies. For this reason, flour is expected to be imported. In this case will the price of bread rise even before 1 July? The Director of Bread at the Ministry of Agriculture said yesterday that the final price has not yet been determined, but is thought to be close to real cost. According to some estimates, a standard loaf could reach 30–35 lek.
It remains unclear how compensation for low-income families will be carried out. The government has stated that it will cover part of the difference, but has not yet clarified the practical mechanism. Private traders, for their part, are asking for a more favorable exchange rate and simpler customs procedures for importing grain and flour.
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