NFM working on price reductions for commercial users

National Flour Mills (NFM) CEO Ian Mitchell said the company is currently working on price reductions for its commercial customers.

In a WhatsApp exchange with Newsday on Wednesday, Mitchell said, "We will be working directly with our respective customers to offer solutions that best meet their needs."

NFM announced its decrease for retail consumers to be around ten per cent on Monday while Nutrimix had a decrease of ten-13 per cent on Country Pride and Nutrimix Premium Grade 2kg and ten-12 per cent on its 10kg-sized flour sacks on July 3.

This also comes after the Prime Minister made a Facebook post, on Wednesday, which said, "So, a higher flour price was enough to see an instant rise in the price of bread, but a lower flour price is not enough to lower the price of doubles and bread?"

Rajiv Diptee, president of the Supermarket Association of TT said to Newsday on Wednesday via WhatsApp, "These price adjustments would take place immediately with the replacement of shelf talkers to reflect new prices at the point of purchase."

He added, "A number of stores would have inventory having purchased at the old or higher prices, so there is a discussion of credit rebates being currently worked out with the supplier and retailer to reflect this. We are also presently awaiting clarity on whether the larger sizes are being discounted as well."

Last June, NFM increased its wholesale flour prices by 33 per cent with the suggested retail increase to be 28 per cent. This increase was brought on by NFM after it was able to secure a wheat supply to last the rest of 2022 at a 49 per cent increase in cost. That price hike was the second for the year as it also announced an increase in January of that year.

Last year's increases were caused by Russia's war in Ukraine that began last February, and a halt in exportation by many wheat-producing countries.