Ukrainian crisis impacting on local businesses

Photo courtesy of Stapleton's Bakery Roscrea

The cost of producing a loaf of bread has doubled in recent times according to one of Tipperary’s best known bakeries.

The increase in gas, electricity and diesel prices had already impacted on production costs for Stapleton’s Bakery in Roscrea who employ around 90 people.

However the situation in Ukraine is now adding to the problem.

Russia and Ukraine produce over 30% of the worlds wheat which is now not available to the market.

Tom Power is a Director and Operations Manager at Stapleton’s Bakery – he says increasing fertiliser costs had already impacted on flour prices.

“Our flour costs have doubled in the last three or four months.

“We are buying 300 tonnes of flour a month at a cost two years ago of about €100,000 and that cost has now increased to €200,000.

“From our point of view it’s an unsustainable situation and we have to pass on those price increases to our customers and we have to pass them on as quickly as possible as we’re just not in a position to absorb those kind of cost increases.”