WHEN will we learn?
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Bread for 85 cents a loaf might sound great on face value but you know that saying – if it sounds too good to be true it probably is.
There is no question a loaf of bread can’t be made and sold for a profit at that price. So who is paying for it?
You can bet the major supermarkets aren’t losing money on the deal.
So that leaves you and me to pay for it and there’s a selection of ways we are likely to be doing that.
One is via slight price increases on other grocery items.
Another, if you ask independent bakers, is more long term. They believe the next generation will be paying more for bread because the majors will squeeze them out of business leaving little choice or competition.
Yet another might be through our health – it’s no secret white bread is not a health food.
Bread is one of those staples most families use a lot of, so it is easy to see the attraction of what appears a cheap product.
Add the convenience of buying it while doing the rest of your shopping and from a supermarket point-of-view it’s a no brainer.
There is no doubt this will hurt independent bakers.
However bakers like John Reminis and Jelle Hilkemeijer have every right to be confident in their own future. They rely on high quality products as a point of difference and that is something people are prepared to pay more than 85 cents for.