Kenya: Price of Bread Goes Up As Cost of Wheat Rises

20 January 2021

The rising cost of wheat has pushed up the price of bread in Kenya for the first time in four years, hitting household budgets at a time milk prices have also shot up.

Nearly all bread brands have recorded a price rise, with a 400 gramme loaf costing Sh55 from Sh50 and a 600g loaf fetching Sh70 from Sh65.

Bread is a staple on almost all breakfast tables in the country, meaning that any price increase is painfully felt.

Price of wheat

Mr Bimal Shah, managing director of Broadway Group of Companies, said the cost of bread was raised on January 5 after the price of wheat went up significantly globally from where Kenya procures up to 75 per cent of her total requirement.

The price of a tonne of wheat has increased by 30 per cent to Sh33,000 from Sh25,300, sparking a rally both on bakers and standard flour.

"Since last year, we've witnessed a significant increase in cost of wheat and this, coupled with high cost of other ingredients that we use, has necessitated the price increase on bread," Mr Shah said.

The price of bakers flour has increased from Sh2,500 to Sh2,900 because of expensive wheat.

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