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Argentina's Bakery Sector Reels as 1,800 Shops Shutter Nationwide

Sector leaders attribute the downturn to soaring power costs plus stagnant wages.

Overview

  • Martín Pinto of the Centro de Panaderos de Merlo reported 1,800 bakery closures across Argentina and more than 15,000 jobs lost over the past two years.
  • He said sales have slumped sharply, with bread down 55% and pastry down 85%, leaving many businesses operating at a loss.
  • Electricity bills rose an estimated 45% to 50% from the previous month, a jump Pinto said makes it impossible to sustain operations without raising prices.
  • Pinto argued that household purchasing power has eroded, noting wages have been effectively frozen for a year and consumers are limiting purchases to what they can afford.
  • Contrasting the national picture, Mar del Plata’s industry leader Carlos Monzón reported new openings and steady demand, citing growth in sourdough and gluten‑free products.