Fears Over Bread Costs Prompt Russian Bakeries to Freeze Prices in Far East

Khabarovsk region’s two major bakeries and 220 smaller bakeries have signed a memorandum with retailers to freeze wholesale prices from $0.53 to $0.59, the regional administration announced Wednesday.

Retailers pledged to cap their markups at 15 percent.

“We live in a market economy and have no right to restrict producers but decided to sign this agreement considering that bread is first and foremost a social[ly important product],” Governor Sergei Furgal said.

The freeze will be lifted after February 2019 “if sale prices will increase due to the rising costs of utilities, fuel, raw materials and other components.”


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