Harare – Bakers have agreed to reduce the price of a loaf of bread back to between 90cents and a dollar (USD) just days after announcing an increase and after government intervention.
Bakers effected an 11 percent hike on the price of bread at the weekend, citing an increase in production costs. A loaf of bread was now costing between $1 USD and $1.10 USD.
“The bakers will revert back to the old price with effect from tomorrow the 19th of December. The National Competitiveness Commission will immediately engage with the bakers to facilitate swift resolution of the challenges faced by the industry,” Industry and Commerce Minister Mike Bimha told journalists following a meeting with bakers and retailers on Monday.
“There are constraints that the industry is facing and these revolve around the number of players in that value chain and we need to interrogate these constraints,” he added.
Bimha said government was also working to address the issue of price increases across the board.