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Egypt launches project to up supply of subsidized bread
Published in Daily News Egypt on 30 - 10 - 2010

CAIRO: Minister of Social Solidarity Ali Moselhi launched the national project for subsidized bread which aims at increasing bread production.
The project includes 100 outlets which will cost a total of LE 3.6 billion and provide approximately 35,000 job opportunities around the country, the minister told local media.
The project will begin with a pilot outlet located at Sheikh Zayed City in the governorate of Sixth of October. Its products will be distributed with newly-equipped cars to other places and will not be limited to the governorate of Cairo and Sixth of October.
Moselhi said the project aims at combating the bread crisis in Egypt, guaranteeing the bread's quality, as well as putting an end to flour smuggling.
Mahmoud Ibrahim, who is supervising the Sheikh Zayed outlet, explained that the outlet will cost LE 36 million in 87 days of operation and that daily inspections will be conducted, according to the state-owned news portal, Egynews.net.
Furthermore, he pointed out that the pilot outlet will be a model implemented around the country producing more than 1.2 million bread loaves on a daily basis to be sold at 5 piasters each.
Earlier this month, Prime Minister Ahmed Nazif ordered the ministers of finance and trade to coordinate with the minister of social solidarity in forming an organizational authority to oversee the production and distribution of subsidized bread and monitor the production stages.
The authority is tasked with ensuring bread subsidies are used efficiently and reach target consumers. Furthermore, it will encourage the creation of large centers for bread production and turning small-scale bakeries into distribution units.
At the time, Moselhi presented a report on restructuring and developing the bread industry, outlining the necessity of establishing an organizational authority to be supervised by all concerned parties, as well as establishing and generalizing an economic model for bakeries nationwide, according to a press statement by the Cabinet of Ministers.


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