AMMAN —AlGhad— The Ministry of Industry, Trade and Supply has decided to cut 5.3 per cent on the price per tonne of subsidised flour, amounting exactly to JOD3.00, Yanal Barmawi, the ministry’s spokesperson confirmed to AlGhad on Sunday.
The cut reduces the price per tonne from last month’s JOD56.14 to JOD53.14 effective through October, 2017.
According to Mr Barmawi, the reduction was decided due to the increase in fuel prices, which in total increases the overhead costs of flour supply and processing.
On October 1st, the government raised the price per litre of diesel and kerosene by 5 per cent, to JOD0.52, from JOD0.495 per litre.
Per tonne of flour, bakeries produces 5,120 loafs of bread, on average, whereas the daily consumption of flour hovers around 2,000 tonnes, on an average day.
There are some 16,500 bakeries in Jordan.
On an annual basis, Jordanians consume 90 kilogrammes per capita every year, a government study indicates.
The government’s wheat and barley foodstuff subsidies amount to JOD180 million, of which JOD140 million goes to supporting wheat.