After milk became costlier by Rs 2 per litre on May 14, bread prices in Mumbai have now risen by five rupees per pack. The increase is attributed to rising input costs of imported raw materials used for plastic packaging and transportation. The rupee's free fall is adding to import woes.
Price Hikes by Modern Bread
On May 16, Modern Bread increased rates by a full five rupees per pack on basic variants, a record high. Britannia and Wibs are expected to follow suit. Grupo Bimbo, which owns the Modern brand, did not respond to requests for comment.
Raju Phutane, who owns a milk-bread stall in Lokhandwala Complex, Andheri, detailed the new prices: the 400 gm sandwich loaf rose from Rs 40 to Rs 45, whole wheat from Rs 55 to Rs 60, multigrain from Rs 60 to Rs 65, the small brown loaf from Rs 28 to Rs 30, and the white loaf from Rs 20 to Rs 22. Brown bread has reportedly risen from Rs 45 to Rs 50.
Reasons Behind the Price Surge
Suresh Paswan, manager of Breadkraft Bakery, explained that plastic powder used for manufacturing bags is imported and has become very costly. He noted that raising bread prices is inevitable. Salahuddin Khan, director of Kwality Bakers and member of the India Bakers' Association, highlighted that transportation costs are a big drain, and preservatives, including salt, are much costlier. Plastic carry bags, a petroleum product, have increased to ridiculous levels.
Baker Irshad Ansari, owner of Delwin in Mahim, recently hiked rates but remains worried as costs continue to mount. Mehdi Dashti of City Bakery in Worli stated that they are usually last to increase prices but are now waiting and watching, as gas and plastic packaging are very costly. He added that once food items go out of reach of the common man, people wonder whether they should buy or not.
Consumer Impact
Shafi Ansari, a consumer from Bandra West, noted that earlier rates would rise by Rs 2 per loaf, with Rs 3 causing anxiety. Now, hikes are in multiples of five rupees at one go. Homemaker Diksha Jain remarked that inflation has spared no food item, be it milk, edible oil, spices, vegetables, fruits, bakery items, or baby food.
