Austrian bakeries face threat of closure

The head of the Federal Bakers’ Union at the Austrian Economic Chamber, Josef Schrute, warned that a large number of laboratories in Austria are on the verge of closing due to a sharp rise in gas and electricity prices.

“This year, energy prices have risen almost tenfold compared to last year. Many bakeries are considering closing,” Austrian radio quoted Schrute as saying.

The official added that the baking industry requires a lot of energy to operate ovens and dough coolers.

According to the Federal Office for Trade and Crafts, the cost of a small regional bakery has increased from 17.6 thousand euros to 54 thousand euros per year.

The Austrian Economic Chamber reported that gas prices since the beginning of the year have risen from 2.9 cents to 23-28 cents per kilowatt-hour (contract prices) or to 38.3 cents in the spot market, while the price of electricity has increased from 5 cents to 20-70 cents.

Source: RIA Novosti