The 'Multiple Price' Bread Dilemma for People in Iran

In Iran, bread is officially sold at several different approved prices, and some businesses have their own separate price lists. Meanwhile, Iranian media has reported the online sale of Sangak bread at a price of 35,000 tomans. The website 'Tejarat News' has covered the online bread market, stating that on online platforms, a piece of stuffed Sangak bread is offered at 35,000 tomans, while the plain version is sold for 15,000 tomans. Barbari bread, one of the most popular types among the people, ranges from 14,000 to 30,000 tomans. The head of the Sangak bread union in Tehran has announced an imminent increase in bread prices in the country and mentioned that a request for a price hike has been sent to the government. Mohammad Soleimani believes that bread prices should be adjusted in accordance with rising costs and inflation, as the current situation is not sustainable. In an interview with the newspaper 'Iran', Soleimani described the bread industry as lacking a governing body and warned that if 'the bread rate is not corrected,' the country will face a 'serious problem' in this sector. Although recently, Ehsan Khandouzi, the Minister of Economy, announced that bread subsidies have doubled, these subsidies are constantly increasing due to various factors, including a reduction in the area under wheat cultivation in the country and an increased need for imports, with industry players believing that this trend will not continue. Meanwhile, the low guaranteed purchase price and attractive pricing in neighboring countries have led to an increase in wheat smuggling, to the extent that, according to the Fars news agency, government guaranteed purchases have been affected, and many farmers are not selling their wheat to the government. The government, however, is seeking to raise the guaranteed purchase price to 17,000 tomans, while the National Wheat Farmers Foundation has stated that wheat smugglers are buying domestic wheat for 24,000 to 30,000 tomans per kilogram and settling in cash. The Russia-Ukraine war and Ukraine's refusal to sell wheat to Iran, along with rising global wheat prices and transportation costs, as well as domestic inflation, are among the factors that are becoming apparent in the wheat-flour-bread cycle and are raising concerns for consumers.