Libya is experiencing a severe bread crisis due to a significant increase in flour prices and fuel shortages affecting bakeries. The price of a quintal of flour has risen from 190 Libyan dinars to over 350 dinars, a substantial increase of 160 dinars. This surge in flour prices, combined with rising fuel and electricity costs, has put immense pressure on bakeries, leading to concerns about the availability and affordability of bread for citizens.
The crisis has been exacerbated by the shortage of fuel for bakeries, despite the government's allocation of fuel supplies. According to Ali Bouazza, head of the High Committee for Monitoring Bakeries, the allocated fuel quantities are insufficient, particularly for large bakeries. The situation is further complicated by the unstable electricity supply, which adds to the operational challenges faced by bakeries.
The impact of the crisis is being felt across the country, with bakeries struggling to maintain production levels. Bouazza has highlighted that the cost of producing bread has increased significantly, with costs rising between 16% and 94% between late 2025 and April 2026. This has resulted in a substantial gap between the actual cost of producing bread and the selling price, putting bakeries under significant financial strain.
The issue is not limited to the price of flour, but also the availability of subsidized flour. Bouazza noted that while flour was available in the black market at around 190 dinars in January, the current market price has risen to around 280 dinars. This has raised questions about the effectiveness of the subsidy system and the distribution of subsidized flour to bakeries and citizens.
The crisis has prompted calls for urgent government intervention to stabilize the market and ensure the availability of bread at affordable prices. Bouazza has recommended that the government support flour and basic commodity prices, monitor input prices, and provide necessary facilities to bakeries. He has also suggested revising the bread pricing system to reflect actual production costs.
Economists have criticized the government's handling of the crisis, citing inefficiencies in managing the economy and food security. Moukhtar Jadallah, an economic expert, has questioned the government's approach to managing the economy, including the allocation of foreign exchange for importing goods and the distribution of subsidized commodities. He has also highlighted the need for a more comprehensive approach to addressing the country's economic challenges.
The bread crisis has significant implications for food security in Libya, highlighting the need for a coordinated approach to managing the economy and ensuring the availability of staple foods. The government's response to the crisis will be crucial in determining the short-term and long-term impact on citizens and the economy as a whole.
Key points
- The price of a quintal of flour in Libya has risen from 190 Libyan dinars to over 350 dinars.
- Fuel shortages and electricity supply issues are exacerbating the bread crisis in Libya.
- The crisis has prompted calls for urgent government intervention to stabilize the market and ensure the availability of bread at affordable prices.
