Agreement between the Government and bakers: how much was the kilo of bread

After the increase in flour prices due to the war in Ukraine, the Secretary of Domestic Trade, Roberto Feletti, signed a new agreement with the bakery sector to regulate the price of bread.

At the meeting, the Government and representatives of the sector set a new rate for the kilo of bread French, with which the food may not exceed $270 nationwide.

The agreement was concluded on Tuesday.

The measure to regulate the cost of bread will initially apply for a period of 90 days and, once the Argentine Wheat Stabilizer Fund comes into force, a mechanism established by the Government to stop price escalation.

This, given that the conflict between Russia and Ukraine triggered international markets and the cereal reached historical values, which even generated flour shortages in the territory.

The government measure seeks to combat inflation

This mechanism will operate “with public funds from the increase in withholdings on soybean meal and oil,” according to Roberto Feletti, which will set the price of wheat at February values.

The Argentine Federation of the Bread and Allied Industries, the Industrial Bakery Federation of the Province of Buenos Aires and the Chamber of Industrial Bakers of the Autonomous City of Buenos Aires participated in the agreement.