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No Agreement Yet In Bread Price Talks Between Bakers And Government

By Tamás Székely // 2015.01.29.

Representatives of the Hungarian government and bakers failed to reach an agreement at their price talks. Following talks with representatives of the Hungarian Bakers Association and the National Association of Food Processors, Antal Rogán, parliamentary group leader of governing FIDESZ, said cheaper fuel ought to pass through to the price of bread.

The price of white bread rose by 58% between 2006 and 2013, increasing at the same pace as the price of diesel; however, while diesel prices dropped by 11% last year, the price of bread dropped by only 5%, he said. Bakers association head József Septe said the current cost structure of the business does not allow for any price reductions. The price of diesel accounts for just 3% of the 18-20% cost of logistics for bakers’ businesses, he explained. József Septe noted as well a big difference between the retail and wholesale price of bakery products.

FIDESZ parliamentary group leader Antal Rogán said bakeries operated by Albanians and by companies registered in Kosovo would come under scrutiny because of the baking association’s contention that these businesses often do not register their employees.

via photo: Attila Balázs – MTI