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High cost of living and low wages leaves little bread left on the table

Saturday 9 December 2023 | Written by Losirene Lacanivalu | Published in Economy, National

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High cost of living and low wages leaves little bread left on the table
Mereani Ikarau of the Convenient Store in Tupapa with local bread. Bread prices will increase from tomorrow. LOSIRENE LACANIVALU/23120833

With rising bread prices, a mother and grandmother have urged people struggling to make ends meet to utilise the readily available local root crops.

A school teacher, who is also a mother and grandmother and wishes to remain anonymous, said that families are leaving the Cook Islands due to the high cost of living and low incomes.

She pointed out that the rising cost of bread is only one example; rents and bills are also increasing, placing a significant burden on many struggling families.

The Price Tribunal this week announced increase in bread prices, effective from tomorrow, December 10.

This new price structure applies only to rectangular, sliced loaves produced by Avarua Bakery and Turoa Bakery.

White sliced bread will now cost $6.72, up from $5.95. Wholemeal and wholegrain bread prices have also risen, from $6.25 to $7.14 per loaf. In the Pa Enua, white loaves are now priced at $7.50, while wholemeal and wholegrain options are $8.10 each.

Read more: Bread prices rise again

The school teacher said parents relied heavily on bread to make quick easy lunch packs for their children, but now they would need to look into other alternatives.

“It is time to have our maniota (cassava), kuru (breadfruit), lemon leaves for tea. We grew up with green bananas, lemon leaves, and local goods are healthier.”

John and Anne Maoate expressed sympathy for low-income families struggling with the rising prices, acknowledging it as an unavoidable consequence of the current economic situation.

While bread was cheaper years ago, they didn’t rely on it. Instead, they used local produce as their primary source of sustenance.

They also advised people to start relying on local root crops.

On Thursday, Louis Enoka, chair of the Price Tribunal, confirmed that the revised maximum allowable prices were deemed acceptable following a thorough investigation.

Enoka said that the last bread price order was issued on September 18, 2022, and evidence of increasing bakery costs since then had been presented.

The Price Tribunal reviewed the evidence provided by suppliers and conducted its own independent investigation, ultimately agreeing with the justification for the price increases.

Enoka said there had been increases in the cost of flour, freight, energy, and other ingredients.

He attributed these increases to disruptions caused by the situation in Ukraine, which impacted wheat harvests and drove flour prices up.

Suppliers had notified bakeries and flour wholesalers of these increases as they occurred.