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3w ago

Argentine Bakers Raise Factura Price to ARS12,000 as Federations Clash Over Costs

The new ARS12,000 hike still leaves bakeries operating at a loss after fat and margarine costs jumped 20% over four weeks.

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Overview

  • CIPAN announced a hike to ARS12,000 per dozen facturas starting next Monday, though its president says shops need about ARS25,000 to break even.
  • Essential inputs like fat and margarine have surged 20% in the past month, squeezing margins amid more than 40% annual inflation.
  • Leaders of provincial and national bakery federations reject the ARS25,000 breakeven estimate and dispute 1,400 closures, warning that sensational figures drive customers to untaxed informal bakeries.
  • Local sales trends reveal bread volumes down 50% and sweet pastry purchases slumping 75% as consumers tighten spending on traditional goods.
  • Some bakers in La Plata contend that streamlined operations and lower-grade ingredients can reduce production costs to around ARS3,000–3,500 per dozen.