Lebanon bakers raise bread price

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The bakeries association in Lebanon has announced a one-third increase in the price of bread, effective immediately.

The association said the move had become necessary following sharp rises in fuel costs and the price of flour.

Economy Minister Sami Haddad said the price rise was not justified and would hit low-income households hard.

The price rise is the latest evidence that higher world commodity prices are leading to sharp increases in the cost of living in the Arab world.

In Egypt, bread prices have risen by more than half over the past year, causing widespread discontent.

About 10 people have been killed in clashes in Egyptian bread queues in the past few months.

Mr Haddad said the government was continuing to subsidise wheat and flour prices and called on bakers to reconsider their move.

The bakeries association said current subsidies provided by the government were insufficient.