The Association of Master Bakers and Caterers of Nigeria is sounding a clarion call to the Federal Government to address the escalating predicaments triggered by the imposition of a staggering 15 distinct taxes on bakers.
The association underscores the profound impact of these excessive tax burdens on the growth and viability of the baking industry within the nation.
With deep concern, Nura Musa, the Public Relations Officer of the Abuja Chapter of the Association, has shed light on the urgent necessity for the Federal Government’s intervention to alleviate the struggles facing the baking sector.
Musa draws a critical parallel between the bakery industry in Nigeria and its counterparts overseas, emphasizing the importance of government support.
Musa highlights a stark reality: the heavy reliance on imported raw materials such as wheat, sugar, and packaging supplies.
He aptly argues that for sustainable bread production to flourish within the country, the baking industry requires a corresponding backing from the government.
The gravity of the situation becomes evident when considering the staggering burden of up to 15 diverse taxes that bakeries bear.
These taxes span federal, state, and local authority levies, collectively forming a barrier to growth that the government should actively help mitigate.
“The bakery sector plays a pivotal role in employment, ranking second only to the Federal Government in job provision.
” Yet, this vital industry is burdened by a multitude of taxes, stifling its growth potential,” Musa asserts.
He further raises an alarm about the surging prices of raw materials, particularly flour.
The rapid and substantial increase in flour prices, amounting to a staggering N9,000 within a single week, from N27,000 to N36,000, is sending shockwaves throughout the industry.
Such sharp rises in essential ingredient costs are taking a toll on bakery production, forcing some establishments to close their doors.
Expressing disappointment, Musa highlights the government’s focus on introducing additional taxes instead of alleviating the mounting challenges faced by the industry.
Letters outlining the concerns were dispatched to the Presidency, the Chief of Staff, and various state governors. Regrettably, no significant action has been taken to date.
The call for relief resonates across the baking sector, urging a comprehensive response from the Federal Government to foster the growth of a key industry that plays a substantial role in employment and economic vitality.
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