Israeli Flour Mills Announce Price Hikes Up to 15% Amid Supply Disruptions
Flour mills in Israel announced price hikes of 10% to 15% starting in November, driven by surging production costs and Black Sea wheat supply disruptions.
Bread and bakery prices are set to rise in Israel as flour mills announce significant price increases ranging from 10% to 15%, driven by surging raw material, transportation, and labor costs.
Flour Mill Price Hikes
One of the primary suppliers, Tel Aviv-based Bar Rav flour mill—which supplies major companies including Osem-Nestle and BonJour—notified clients of an 11% price hike effective November 1. Representatives stated that even this adjustment does not fully cover the surging production expenses.
These developments lead to a significant increase in the costs of raw materials, shipping, and labor, and directly to a sharp rise in the price of flour. We are working to minimize the impact as much as possible while maintaining regular supply, but are forced to update prices gradually.
Supply Chain Disruptions
A major catalyst behind the price surge is ongoing disruption in wheat supplies. Over the past two years, Russia has become a primary supplier for Israel, but the escalation of the war with Ukraine and a series of attacks against ports and vessels in the Black Sea have heavily impacted shipments. Industry sources confirm that ships carrying wheat and barley destined for Israel have sustained damage.
As manufacturers signal they will not absorb the entire cost increase, consumers should expect higher prices at bakery shelves in the near future.
