Bakers warn of price hike, ask gov't to stabilize flour cost

MANILA, Philippines- Officials of the baking industry asked government Monday to stabilize the price of flour and other baking ingredients as they warned that a price hike for bread looms this month. Luisito Chavez, vice president of the Philippine Federation of Bakers, said small bakers, who also contend with high rent rates, will be the first to increase prices. "Sana magawa ng paraan ang pamahalaan huwag magalaw ang presyo ng arina (at) shortening (We hope the government can do something to make sure prices of flour and shortening do not go up any further)," Chavez said in an interview on dzRH radio Monday. Chavez said this, coupled with the almost 50-percent rise in prices of flour, may force small bakers to hike their prices. "Yung tinatamaan maliit na panadero. Sana ang pamahalaan bigyan pansin ang suliranin ng panadero lalo ng maliit na bakery (This will hit small bakers the hardest. Government should look at their plight, especially the small bakeries)," he said. On Sunday, Bombo Radyo Manila that Philippine Baking Industry Group president Simplicio Umali Jr. hinted at two price hikes this quarter if prices of ingredients still go up. Umali noted that flour costs went up by P60 from prices in the last quarter of 2007. The price increase in flour earlier prompted the Philippine Association of Flour Millers to ask the trade department's help in getting a steady allocation from China. - GMANews.TV