A “bread index” may be created in Georgia - Levan Silagava, Executive Director of the “Wheat and Flour Producers Association” states.
According to him, amid a drop in wheat prices, bread prices rise as other ingredients get more expensive.
"Certain percentages in the calculation of bread have changed, including in Russia, which is our main supplier. The reason that
flour price declines on the global market and bread price hikes, is that trade additives have come to the fore, and the prices of salt, yeast, water, and energy carriers have also increased."
Many think that flour is the key ingredient in most breads, but this is not true – a study conducted in Russia last year showed that flour makes up 20% of bread ingredients. So a decline in the price of flour should not and does not automatically mean that the price of bread will fall. “In our country, such a study has not been conducted, and we do not know the exact percentage, but it would be good to know, because then we will conduct a more specific and accurate analysis,” Silagava notes.
The Consumer Association shared the initiative with the Association, and, as Silagava says, it was hailed. The Khachapuri Index is provided by the ISET Policy Institute,
I mentioned ISET because it would be good if such a study were conducted by a research organization with high legitimacy. “All this will help us to follow the change in the cost of which product causes bread price rise or fall,” Levan Silagava points out.
