Mexico: costs have risen between 55 and 65 percent

Mexico City / MX. (ato) First it was tortillas, then milk, and now Mexican bread prices are going up, corroborating the central bank´s persistent warnings about food prices threatening its inflation outlook. Mexico´s baking industry confirmed this week that it plans to raise bread prices by 15 percent to 17 percent on average to recoup rising costs of wheat flour and other raw materials. Antonio Arias Ordonez, president of the Mexican Bakeries Industry Chamber, says he expects all of the country´s roughly 26.500 bread shops to raise their prices. «It would be unusual if they did not after raw materials costs have risen between 55 percent and 65 percent». Apart from flour, prices of margarine, eggs and sugar, have also been rising – like everywhere around the globe, we think (source).