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Sugar shortage jeopardizes bread production
posted on: Mar 11 2010 10:52 by Royston. Viewed 479 times.
The president of the Union of Small and Medium Industrial Bakers (UMPHI) reported yesterday that many bakeries in the country could cease production of bread because of the sugar shortage and its high price.
Francisco Capelln anticipated that the problems with sugar supply would further endanger school breakfasts, because the bakers are already in dispute with the government over a debt of 300million pesos.
Capelln said he had reported the sugar shortages to the government and asked for help from the Sugar Institute in importing extra supplies. He said he had not received any response, thus jeopardizing the production of bread and consequently the school breakfast.
"The price of sugar is above our reach. In the history of this country we have never seen a bag of refined sugar costing RD$2,000, and this is an essential raw material for production of bread," said the President of UMPHI.
The president of the Dominican Federation of Merchants (FDC) warned yesterday that a pound of brown sugar could reach 25 pesos a pound.
He asked what justification there is for producers not supplying the domestic market when the government has already collected all taxes for an approved import of 70 thousand tons.
On this topic, the president of National Federation of Merchants of the Dominican Republic (Fenecerd), said there was no easy solution to the problem because the distribution of sugar is solely under the control of Grupo Central Romana who release only limited quantities.
2,000 pesos - wholesale price for 125lb bag of brown sugar.
1,950 pesos - wholesale price for 125lb bag of refined sugar.
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