The dry summer and the anticipated shortage of flour have caused this week an increase in bread prices in many parts of Bosnia and Herzegovina by up to 100 percent, warned trade unions operating in the country, accusing the authorities of doing nothing to prevent an autumn price shock on the poorest segments of the population.
As local media reported on Friday, grain processors warned at a meeting held under the auspices of the Foreign Trade Chamber of BiH that the situation could be even worse, as current wheat stocks across the country can only satisfy two weeks of consumption, and purchasing on regional and other markets is becoming increasingly difficult and expensive.
According to data from the Foreign Trade Chamber of BiH, the annual needs of the country for grains are between 400,000 and 500,000 tons, and only about ten percent of these quantities can be secured from domestic production. BiH does not have state-level commodity reserves, and the president of the Management Board of the Bakery Craftsmen Association in the Federation of BiH, Sead Đipa, warned that this entity is not prepared for the wheat shortage at all as there are no stocks.
“Therefore, the price jump will be drastic,” said Đipa. The director of the Federal Administration for Inspection Affairs, Ibrahim Tirak, announced that the Council of Ministers of BiH will likely be asked to abolish the five percent tariff on wheat imports from countries outside the region, given the assumption that it will be difficult to secure the necessary quantities by importing from Croatia and Serbia. The Government of the Republic of Srpska has requested assistance from the Serbian authorities and has received a loan of five thousand tons of grains, which should be delivered by August 23. (Hina)
