Price of bread will not increase in Georgia - Bread Manufacturers Union Head

Georgia has a sufficient supply of flour to prevent an increase in price of bread at this stage, Malkhaz Dolidze, the Head of the Georgian Bread Manufacturers Union, said on Monday.

Dolidze elaborated on issues related to the dynamics of bread price in the country, including increased costs of importing flour and wheat, along with the inconsistent imports of “good quality” flour, and changes in the price of natural gas. 

Dolidze noted the price of flour imported from Russia was “slowly rising,” adding importers did not seem to select the quality of the product due to suspended operation of the mills in the country. 

• “More than enough” wheat in stocks for Georgian producers - PM

In his comments, Levan Silagava, the Executive Director of the Georgian Wheat and Flour Producers Association, also focused on the global concern of wheat stocks, saying as of today Georgia was importing flour but not wheat.

There should be stocks of wheat in the country. We say wheat because it is a United Nations recommendation that there should be at least a two-month supply [of the product]”, Silagava was cited as saying by the online media outlet bpn.ge.

He also noted the importance of restoring the operation of domestic mills, noting work was underway to impose a “certain tax” on imported flour, and adding the fact that imported flour was cheaper did not protect the market from the rise in the price of bread. 

• Georgian Bread Manufacturers Union Head: increase in prices not expected until end of month

In May, Prime Minister Irakli Garibashvili said it was “not in the interests” of the Government and the public to see an introduction of a tax on flour, adding the issue of stocks being used up in the country was “caused artificially” and Georgia had “no problem” in this respect.  

Georgia’s wheat harvest is expected to be 20 percent higher compared to 2021, Dolidze said earlier today, adding while the figure remained comparatively small, a “positive tendency” was observed in local farmers producing wheat.

Last year, Georgian wheat production increased by 32.9 percent and reached 136,100 tonnes.