Bread prices will rise by 20%: when to expect new increases

According to hvylya.net: The director of 'Kyivkhlib' Yuriy Duchенко warned that Ukrainians will have to pay even more for bread. If in 2021 the price of bread increased by 20%, by 2025 producers predict a new price hike - another 15-20%. The reason for this is the rise in costs for flour, energy supplies, and wages.

'We see a clear trend towards rising costs. Expenses have risen, and by the end of the year, price increases will be inevitable,' noted Duchенко.

According to the director of 'Kyivkhlib', many bakeries are operating at the edge of profitability, while some are even at a loss. Market demand is also changing: Ukrainians are increasingly choosing simple types of bread, while pastries and rolls are losing popularity. Producers are finding it harder to sell their products.

The high cost of energy, falling purchasing power, logistical difficulties, and export restrictions complicate the situation. However, the biggest challenge is the shadow market, which constitutes a significant share of the industry.

'It cannot be said that our market is completely in the shadows. But products sold at 20% lower than the official price create serious competition. There are about four thousand producers in the market, and the competition among them is extremely fierce,' noted Duchенко.

'Kyivkhlib' believes that there is a way out. The development of the industry is linked to the automation of production, the use of new technologies, and a focus on fresh and healthy bread.

According to the director of 'Kyivkhlib' Yuriy Duchенко, a price increase for bread in Ukraine is expected to be another 15-20% by 2025 due to rising production costs. Bakers are operating at the edge of profitability, and the demand for bread is gradually changing. The industry also faces high energy costs, logistical difficulties, and shadow sales of products.