Egypt Increases Bread Prices Amid Rising Costs

Egypt, one of the world's largest wheat importers, will increase the price of subsidized bread to 20 piastres from June. The new price accounts for 16% of production costs, which rose from 115 to 125 piastres. Finance allocation for subsidies is set at 125 billion pounds for bread and 147 billion for petroleum.

Egypt, often the world's biggest wheat importer, will raise the price of heavily subsidised bread to 20 piastres from 5 piastres from June, Prime Minster Mostafa Madbouly said in a press conference on Wednesday.

The new raised price represents 16% of the cost of making the bread, which has risen to 125 piastres from 115 last year, Supply Minister Ali Moselhy told the same press conference. The country uses 8.5 million tons of wheat per year, Moselhy added.

The finance ministry in March said it would allocate around 125 billion Egyptian pounds ($2.66 billion) for bread subsidies in its 2024/2025 state budget and around 147 billion pounds for petroleum product subsidies.