Bread prices up in Iran

The price of flour and flour products, including bread, has increased in Iran, Report informs via Iran International.

The reason for this is the smuggling of flour to neighboring countries and the disposal of more than 4,000,000 tons of bread annually.

According to Mohammad Jalal, Deputy Minister of Economy of Iran, 10 percent subsidy was provided to bread producers in the country.

The head of the Union of Sangah Bakers, Mohammad Soleimani, said that they decided to hike the price because the subsidy was low.

Iranian media oulet said that there are problems in the implementation of the government's "smart plan" in this area: “Bread is sold several times higher than the price imposed by the government.”

According to the information, subsidies limited the production of bread. The government has announced that subsidies have been increased by 30-40 percent in accordance with the "smart plan". However, there is no mechanism for their application.