Bakers’ shutdown comes after warning of rising cost of doing business
By Jeph Ajobaju, Chief Copy Editor
Bakers have delivered on their warning to shut down operations because of a harsh business environment that spews unabated rising costs of flour and sugar and other ingredients as well as equipment such as ovens, power generators, and fuel.
Thrown into the mix is excessive taxation at various levels of government regulation, all of which combined to trigger the first warning of strike last month, billed to start on 13 July, now shifted to begin today.
The Association of Master Bakers and Caterers of Nigeria (AMBCN) issued a two-week ultimatum to the federal government to address challenges facing the industry.
If the problems are not resolved, it says, there is no option than to close shop – which will lead to the scarcity of bread, the national staple food whose price has been rising every quarter since at least 2000.
Kogi AMBCN chapter Chairman Gabriel Adeniyi explained in Lokoja that the decision to withdraw services was forced by the daunting obstacles in the bakery and catering industry.
He said all efforts made by AMBCN to remedy them were shunned by the government and its agencies.
“The Master Bakers and Caterers nationwide resolved to down tools and shut down all bakeries from July 20 to 26, 2022.
“I wish to inform the general public, and indeed the customers and consumers, that the national secretariat of the association has directed all chapters to comply unfailingly,” Adeniyi said.
“Among the reasons that forced the unfortunate industrial action include shortage of raw materials, increasing cost of materials, over taxation and levies.
“Since the ban on importation of flour into the country, no serious effort has been made for homegrown wheat as promised by the government and its relevant agency, the Federal Ministry of Agriculture.
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Palliative not forthcoming
“The Master Bakers have requested for palliative in form of soft loans or subsidy to bakers to enable them produce quality and affordable quantity of bread for mass consumption, which was promised but not fulfilled.
“These challenges facing the association are threatening production of affordable and quality bread in the country,” Adeniyi said, per reporting by The PUNCH.
“The commodity will therefore be off the street, markets, shops and dining tables to drive home the points raised for necessary action by government.
“Constant increase in the prices of baking materials, especially flour, sugar and other ingredients, have led to souring costs, poor quality and great loss of customers and consumers, causing producers to, consequently, closing down.”
“If that is allowed, thousands of bakers, and millions of their employees will be jobless; and marketers will also be affected, while millions of thousands of naira extracted from the industry will be lost to smugglers and foreign bakers of bread.”