Bakers have sliced bread prices by Sh5 on the stiff competition by supermarket in-store bakeries, hurting their profit margins in the wake of the prevailing high global cost of wheat.
The price of bread in the in-store bakeries has been cheaper by an average Sh5 since April when rival bakers raised their prices in a fresh attempt to pass the additional cost in the price of wheat to consumers.
The in-store bakeries did not adjust their prices — titling the scale as price-sensitive consumers opted for the cheaper products. Spooked by the consumer shift, bakers have now lowered their prices to keep up with the competition.