A statement signed by the President of Premium Beadmakers Association of Nigeria, Emmanuel Onuorah have indicated that the association plans to halt bread production with effect from Thursday.
According to the statement, operating a bakery in Nigeria has become almost impossible as the incessant increases in the prices of baking materials and diesel have affected the industry negatively.
He stated that bakeries were running in losses and the situation was no longer sustainable because bread which is a staple food and one of the cheapest ‘grab and go’ food is now out of reach for both the poor and the rich.
“It, therefore, behoves the Federal Government to be mindful of this and ensure the survival and sustainability of the industry,” he said.
The statement read in part, “In a move to ensure the survival of the premium bread-making industry in Nigeria, we have decided to embark on a withdrawal of services beginning from Thursday 21st of July, 2022 for four days in the first instance and where there is no intervention from the government, we shall escalate the duration of the withdrawal.”
Incessant increase in the price of baking materials, Federal Government’s 15 per cent wheat development levy on wheat import, NAFDAC’s N154,000 penalty charged for late renewal of certificates, the inability of its members to access grants and soft loans being given by the Central Bank of Nigeria to Micro, Small and Medium-Scale Enterprises and multi-agencies regulation of the bread-making industry are the reason the association gave for the withdrawal of services.
Onuorah further disclosed that efforts to ensure the survival of the industry led to a series of meetings with the Federal Ministry of Industry, Trade and Investment, Abuja with the sister association in the bread-making industry in 2021, and best attempts through the suggestions we put forward for the survival of the bread-making industry have not yielded the desired result.
The association believes that withdrawal of service is the only way it can get to Federal Government and Nigerians and let them know the bakers plight and how difficult it has been with the bread-making industry in Nigeria.
The Association of Master Bakers and Caterers of Nigeria via a communique issued, and signed by the association’s executives, led by Mansur Umar, had earlier declared that it would embark on two-week strike action in response to skyrocketing prices of baking materials.
An economic expert and associate professor of Economics at the Pan-Atlantic University, Lagos, Olalekan Aworinde, believes the Nigerian government has become lethargic towards addressing certain critical issues plaguing the economy. This, he said, had made strike action the last resort for interest groups who desire to be heard.
Aworinde further explained that If the beadmakers shut down, poverty rate in Nigeria will continue to increase because bread is one of the common foods that individuals eat every day. Hardly will you see any household that doesn’t eat bread. It will therefore be difficult for people to put food on their table when bread is not available. It also tells us that the price of bread is also likely going to increase because their going on strike is to show that there is a possibility of also increasing the price of their product.
Aworinde also call government’s attention to the fact that, there are workers that work in these bakeries and are paid daily. Shutting down the bakeries means that the level of unemployment is likely going to be on the increase and we are likely going to have some social ills in the country.
