The General Authority for Supply Commodities in Egypt will penalize subsidized bakeries that fail to pay bread production cost differences on time. Penalties include a 25% interest charge on debts and a reduction of 25% in bread quotas. This measure is aimed at ensuring fairness and efficiency in the subsidized bread program, benefiting around 70 million Egyptians.
The General Authority for Supply Commodities (GASC) in Egypt has declared penalties for subsidized bakeries using natural gas that fail to settle bread production cost differences in a timely manner. A statement from GASC revealed that non-compliant bakeries will incur a 25% interest charge on their outstanding debts. This initiative aligns with a ministerial decision established in August 2024.
Additionally, bakeries that do not adhere to the payment schedule will experience a reduction of their subsidized bread quota by 25%. GASC underscored the significance of punctual payments to preserve the integrity of the subsidized bread system and safeguard the rights of all stakeholders involved.
The authority has compiled and distributed lists of non-compliant bakeries to supply directorates across the nation, which will implement the prescribed penalties. GASC encourages all subsidized bakeries utilizing natural gas to expedite the resolution of any outstanding debts related to bread production costs to prevent incurring these charges, thereby ensuring a fair and effective subsidized bread program.
The bread subsidy serves as a crucial support system for approximately two-thirds of Egyptian families, equating to around 70 million individuals who depend on bread as a fundamental food source.
In summary, the GASC’s decision to impose penalties on subsidized bakeries highlights the authority’s commitment to maintaining the integrity of Egypt’s bread subsidy program. By enforcing timely payments and reducing bread quotas, GASC aims to protect stakeholder rights and enhance the program’s efficiency, which is vital for millions of Egyptians reliant on this essential food source.
Original Source: www.dailynewsegypt.com
