tomatoes
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Post by tomatoes on Jul 17, 2018 23:32:42 GMT 10
au.news.yahoo.com/food-staple-thats-cost-073638637.html“Bread prices are set to jump as the cost of Australian wheat surges following adverse weather conditions across the country. Following a dry spell with higher heat, future contracts, which guarantee a set price for a period of time, have rocketed over the past six months on the east coast for wheat....”
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Post by frontsight on Jul 18, 2018 0:01:39 GMT 10
I wouldn't worry too much. I am in the food industry, most of the cost in a loaf of bread is not the wheat, but rather labor and transport. 2.5% increase in labor wages will do much more than a 25% wheat price hike. Look at it that way, wheat is harvested and cleaned, then blended to make grade, then you mill it, store the flour, ship it to the bakeries, they add yeast, fat/oil, ascorbic acid, datem, some enzyme, sugar, salt and mix the dough (extremely energy hungry), then they proof it, mold it and bake it (even more energy hungry), cool it, cut it, package it and metal detect it (really, most mass produced non canned food have be thru metal detector and/or x ray) before sending it to the shop who will then put on a mark up (and calculate the cost of having to dump some stale bread into it). If you look at it, very little cost comes from the wheat. Besides supermarket will still offer $1 bread, they don't earn anything but to lure you in to buy other junk. So yeah, relax and put some smashed avocado on your toast.
I worry more about not supplying our export customers, we have a few BIG export customers, if we short supply them, they will start looking for other gigs like Black sea and Canada, that will kill our primary industry in a long run.....
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