Lebanon Hikes Bread Price Amid Rising Production Costs
Under the pricing mechanism in place for several years, which periodically calculates the actual cost of the components used to produce bread, the Ministry of Economy has raised the price of a medium-sized loaf of Lebanese white bread at bakery outlets from LBP 75,000 to LBP 80,000, an increase of LBP 5,000.
The ministry said: “We fully understand the burden that any increase in bread prices places on citizens, particularly given the difficult economic conditions. However, this limited increase has become necessary to ensure the continued production and availability of bread in the market.”
The price increase follows a doubling in the price of diesel since the start of the crisis. Diesel accounts for around 22% of the cost of producing bread, while other production costs have also risen. According to the calculations used under the pricing mechanism, these increases have directly pushed up the cost of operating bakeries and producing bread.
The ministry stressed that the pricing mechanism works both ways, and said it will review the price and lower it once production costs decline, as it has done in the past under the same mechanism.
The Consumer Protection Directorate continues to conduct inspections at markets and bakeries to ensure compliance with the official price and crack down on violations, helping maintain market stability and protect consumers’ rights.
