CAA warns bakeries of controlled price if bread exceeds Rs.130

Colombo, July 29 (Daily Mirror) - The Consumer Affairs Authority (CAA) warned bakery owners yesterday that a controlled price will be imposed on bread next week if they do not sell a 450 g loaf of bread at a maximum retail price of Rs. 130.

CAA Raids and Special Investigations Director Sanjaya Irasighe told the media that concessions on electricity and fuel have been provided, and the benefit should be passed on to the consumers by selling bread at Rs. 130.

"Before the price reductions, the retail price of a loaf of bread was Rs. 140. After reducing the prices, it is now Rs. 130. However, some areas a
were selling bread at Rs. 150, and now their price is Rs. 140. This is unacceptable. The retail price of bread should be uniform at Rs. 130," he said.

Therefore, the CAA has decided to inform traders and bakeries to sell bread at a maximum retail price of Rs. 130. This has been communicated through the media.

"We will inspect the prices within this week. If the price is not reduced, the CAA will impose a controlled price for bakeries by next week. After imposing a controlled price, bakery owners and traders will be liable to pay a fine of Rs. 100,000 for not selling bread at a maximum retail price of Rs. 130. For large-scale companies or bakeries, the fine will start at Rs. 500,000 and can go up to a maximum of Rs. 5 million," Irasighe said.

He also urged bakery owners and traders to pass on the benefits of reduced fuel and electricity prices to consumers instead of trying to maximize profits. If not, the CAA will conduct an investigation and announce a price considering the manufacturing costs and a profit margin.