The artisanal bakery sector is in a marginal situation, with the Athens, Suburbs and Surroundings Bakers’ Guild submitting a memorandum to the Ministry of Economy and Finance and the political parties, asking for immediate support measures.
As representatives of the sector point out, in recent years small and family-owned bakery businesses have been facing an unprecedented accumulation of financial pressures. Skyrocketing energy costs, with constant increases in the price of electricity, gas and fuel, have dramatically burdened the operation of bakeries, as bread production is directly dependent on energy consumption.
In parallel, international geopolitical developments and military conflicts are affecting energy and raw material markets, adding to uncertainty and further increasing production costs. According to bakers, industry operators have absorbed much of these increases in previous years in order to keep the price of bread as affordable as possible for households.
However, as the memo highlights, many businesses are now operating at marginal or even negative viability. In many parts of the country, there is an increase in the number of “lockouts” in traditional bakeries, while those that remain active are working exhausting hours and with little profit margin.
At the same time, bakers say high taxes, presumptive forms of taxation and increased operating costs are creating a stifling environment for small businesses. They stress that the viability of artisanal baking is not only about the sector, but also about the daily diet of citizens, as bread is a basic commodity for every Greek household.
In their memorandum they call for the immediate adoption of support measures. These include the introduction of a tax-free threshold of 12,000 euros for all professionals, the abolition of presumptive taxation, the reduction of indirect taxation and the abolition of VAT on bread. At the same time they call for the abolition of the Special Consumption Tax on energy, a drastic reduction in the price of kilowatt-hours and the imposition of a cap on electricity, gas and oil tariffs for small bakeries.
The demands also include avoiding power cuts to professionals who are unable to pay their energy bills, protecting business equipment from seizure, and the cancellation of interest and surcharges on debts to the tax authorities and banks. Bakers are also calling for additional support for both those who remain active and those who have been forced to close their businesses.
They stress that artisanal bakeries are a historic and productive part of the Greek economy, supporting local employment and preserving the tradition of fresh bread.
They also stress that, without immediate support measures, the risk of further contraction of the sector is now visible.
