Bread bakers in Kano state, under the auspices of the Association of Master Bakers and Caterers of Nigeria, Kano chapter have said that increase in the price of flour has left them with no option than to increase the price of bread for their business to survive in the state.
Speaking to journalists in Kano on Friday, Secretary of the association, Kabiru Hassan Abdullahi, said the decision was due to an increase in the price of flour and other ingredients used in making the bread.
According to him, the association could decide to shut down the business and subsequently increase the price. Still, to render thousands of youths jobless, which could be a threat to the peaceful coexistence of the state, they decided to increase the price soon.
Abdullahi blamed the federal government for its failure to respond to their appeals for intervention to bring a lasting solution to the problem.
He said the association has provided jobs to thousands of youths in the state and contributes tremendously to food security. Still, some problems pose a danger to the business, but the government has not done anything to save it.
The Secretary pointed out that after painstaking efforts to continue with the business without increasing the price of bread, despite the hike in the price of flour, the market forces have compelled the association to take the decision; otherwise, its members would always be at a loss.
He disclosed that the association had tried severally to meet with the management of the flour companies to bring down the price, but their efforts were unsuccessful as the mills cited COVID-19 as the reason why the meeting could not hold.
The Secretary wondered why the price of flour was N9 000 from late 2019 and early 2020 when the dollar exchange rate was N400 or above, but it has now reached over N16,000 while the dollar rate is still not more than N500.
He said IRS flour, made by BUA, which had been scared at the market, is the most expensive product.
While calling on Abdussamad Isyaku Rabiu, the Chairman of BUA Group of Companies, to reduce the price of his flour product, the Secretary also called on him to improve his product’s supply to be available at the market.
He said, ” I have many appeals to Abdussamad. Firstly, he should improve his production to make his product available in the markets.
“Secondly, I call on Abdussamad to ensure that the price of flour is reduced. The issue of flour price increase goes hand in hand with the exchange rate. The price of flour was N9 000 from late 2019 and early 2020 when the dollar exchange rate was N400 or above, but it has now reached over N16,000 while the dollar rate is still not more than N500. If you look at the increment, it is about 50 per cent.
” I want to draw the attention of Abdussamad to consider the plight of the masses and reduce the price of the flour. He should also open the door for us, the bread bakers, to be doing business directly with his company.
“The reason why I said this, I have been in this business for many years, but I have never seen a Product Support or sales representative from BUA in my bakery. No sales representative ever came to sensitize me on BUA products or show me the easier ways to her the BUA products,” the Secretary complained.
The Secretary, however, disclosed that after holding a general meeting on Wednesday, the association had directed its members to meet with the grassroots bakers in ten days in a bid to come up with a unified price increment that would not hurt the populace in the state.
“After our general meeting, we directed our members to be intimate the grassroots bread bakers in a bid to come up with a unified price increment that would not affect the masses negatively. Furthermore, we asked the members not to shut down their businesses, and they should continue production until the 10th of July,” he said.
Abdullahi appealed to the government to look into the flour milling industry because, according to him, Nigeria exports wheat more than rice, noting that the employment opportunity created in the sector is much higher.
He cautioned the government not to allow the business to collapse as it is a source of income to thousands of youths in the state, saying, “in this security challenges, allowing our business to collapse is dangerous.”
On his part, a baker, Abubakar Bello Ja’en, the manager of ABJ Bread, said the business is encountering several problems, majorly increasing the price of flour.
He disclosed that the association had informed them that there would be no strike, but they must increase the bread price to save their businesses.
He said the decision to increase the price is not the preferred choice of the association, adding that the bakers wanted the price of flour to reduce than to increase the price of bread.
He revealed that his bakery and others are using IRS of BUA company more than other products, saying, “but it is the most expensive. It has now reached up to N16 700.”
“Let me use this opportunity to call of Abdussamad to consider the plight of people to reverse the price of the flour. People are suffering. We don’t want to increase the price of the bread. It’s against our wish,” he said.
