Flour prices to go up due to global factors

Share this information:

THE public can expect local flour prices to go up even further due to the increase in the price of wheat imported from other countries.

According to Ricardo Pinca, executive director of the Philippine Association of Flour Millers Inc. (PAFMIL), the price of wheat is now at over US$500 up to US$600 per metric ton from the US$300 price last year.

The price of flour will really go up because of the continued increase in the price of wheat, which is used to create flour, in the world market,” says Pinca.

Pinca pointed to the continuing conflict between Ukraine and Russia as the reason why the price of wheat continues to go up. Aside from this is the export ban imposed by India, and the drought being experienced in some areas in the United States of America, which is the center of production of wheat.

Pinca added that another big contributing factor in the increase in production cost of flour is the weakening of the Philippine Peso against the US dollar.

Pandesa, a popular breakfast fare bread in the Philippines, which was sold before at P2.50 piece is now sold at P3 per piece.

Pinca is hoping the government will consider reducing tariff in raw materials used in bread production such as flour and sugar, and the reduction in value-added tax (VAT) of liquefied petroleum gas (LPG).

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.