The Association of Master Bakers and Caterers of Nigeria is appealing to the Federal Government to resolve the growing issues triggered by the excessive burden of paying 15 different taxes imposed on bakers.
The bakers noted that this was stifling the growth of the baking industry in the country.
In an exclusive interview with The PUNCH, the Public Relations Officer of the Abuja Chapter of the Association, Nura Musa, expressed the need for the Federal Government’s intervention in light of the industry’s struggles.
He pointed out that many countries provide subsidies to support critical sectors, drawing a parallel between the bakery industry in Nigeria and those overseas.
Musa highlighted the heavy reliance on imported raw materials, such as wheat, sugar, and packaging supplies, and asserted that the industry needed corresponding backing to ensure sustainable bread production in the country.
“With a bakery having to bear the weight of up to 15 different taxes, including those levied by federal, state, and other local authorities, the need for government assistance becomes evident.
“The bakery sector plays a pivotal role in employment, ranking second only to the Federal Government in terms of providing jobs. Yet, this vital industry is burdened by a multitude of taxes, stifling its growth potential,” argued Musa.
He also raised concerns over the skyrocketing prices of raw materials, particularly flour.
“Flour prices have surged by a staggering N9,000 in just one week, rising from N27,000 to N36,000.
“The sudden and steep increases in the costs of essential ingredients are taking a severe toll on bakery production, forcing some establishments to shut down. Regrettably, the government’s response has been focused on introducing additional taxes, rather than alleviating the challenges faced by the industry,” he explained.
Musa revealed that letters outlining their concerns were dispatched to the Presidency, the Chief of Staff, and various state governors, yet no substantial action had been taken.