The new year has started with an unpleasant surprise for consumers – the prices of bread and pasta have jumped significantly. The reason is the abolition of the zero VAT rate, which was introduced in the last days of 2024, along with the rise in the cost of electricity and wages. In a number of bakeries the price increase is already noticeable. In a randomly visited establishment, bakery prices have jumped by 20%. Breadmakers are warning of a further increase, which will affect staples such as Dobrudja bread, which has already risen by around 40 cents in a few days.
Bread producers point to three key factors for the price increase:
– The abolition of the zero VAT rate, which immediately affects the final price for the consumer.
– Raising staff wages – important to maintain quality and ensure staffing.
– Rising electricity and material costs which inevitably affect production costs. The bread maker Alexander Yosifov told:
“We are expecting price increases of more than 20%, which could be as high as 30% for some products. This includes bread, snacks and other flour products.”
High bread prices are causing discontent among consumers. Bread, as a staple for every household, is a sensitive topic, and its rising price often leads to stress and restrictions in purchases. Analysts warn that if the trend of rising costs continues, bread and pasta prices will continue to rise. Consumers should prepare for further market changes in 2025.
The rise in bread prices is not simply a matter of market mechanisms, but an indicator of deeper economic processes. This underlines the need for strategic measures to limit the impact on households and small businesses.
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