Bread prices are set to go up starting November 1
The increase comes as a result of a controversial Statutory Instrument (SI) 87 of 2025, which was gazetted by Industry and Commerce Minister Mangaliso Ndhlovu last month.
The SI imposed a statutory payment into the Agriculture Revolving Fund on all millers, a move that they warned could result in negative inflationary pressures.
Recommendations to set it aside were ignored.
Failure to do so, as a result, is set to hike bread prices by not less than 4% on the retailers’ side according to the National Bakers Association of Zimbabwe (NBAZ) and Grain Millers Association of Zimbabwe (GMAZ).
Maize meal, stock feed, and other related products are likely to see prices go up.
“The NBAZ wishes to reiterate that the sector does not have capacity to take any increases in input costs, without compromising business viability,” reads a letter to Ndhlovu from NBAZ, dated October 24, 2025.
“Bread flour accounts for approximately 43% of the total bread production cost, if a 4% increase in bread flour is permitted, it will translate to a 2 cents increase per cost of producing a loaf, resulting in an increase in the wholesale price of bread effective on the day on which the flour price is increased.
“The communicated increase in flour price, compounded with the other input cost escalations will result in an overall 5 cents per loaf pass-through effect to the retailer, most likely taking the retail price of bread, above the US$1 psychological benchmark, effective 1 November 2025.”
Despite fuel price increases, shortages of electricity and haphazard distribution, bread prices have remained at generally a dollar across the country.
Their price hike could have a ripple effect whose inflationary impact might bring back memories of the late 2000s when prices changed by the hour.
GMAZ, which according to another letter in NewZimbabwe.com’s possession conceded defeat upon failure to scrap the SI, has already communicated the increase to the government.
“Regrettably, we have failed to successfully lobby for this SI to be reversed and have no option but to comply with it,” reads a letter sent to Ndhlovu dated 23 October and copied to Lands and Agriculture Minister Anxious Masuka, Finance Minister Mthuli Ncube, the president’s office, and the NBAZ.
“Accordingly, guided by the Audit Opinion we sought, we will be making provisions of the statutory payment imposed in our costings.
“Therefore, the price of bread flour (and other types of flour) will be increasing by circa 4% with effect from 1 November 2025.”
*Source – NewZimbabwe*
