Fiji’s home-grown bakery chain Hot Bread Kitchen (HBK) has had to increase the prices of some of its products because of the recent hike in fuel costs associated with the effect of the geopolitical tension in the Middle East.
While it expects further increases in its operational costs as vendors and suppliers are likely to pass on their own cost increases, the company remains committed to ensuring that the products remained affordable for the people.
In an interview at the soft launch of the reopening of its flagship Suva Market store in downtown Suva yesterday, HBK managing director Vanessa Charters said their two biggest ingredients were wheat and heat (energy).
Noting they imported wheat, Ms Charters also acknowledged the good sources of water and power, thanks to the Monasavu Dam – “we’ve been very fortunate in that respect”.
In the meantime, she said they were waiting for any changes to the price of flour.
“We’re just waiting to see here what FCCC (Fijian Competition & Consumer Commission) is going to charge for flour because, obviously, they will set that for our providers,” Ms Charters said in response to a question from this newspaper.
“And again, Fiji – we’ve got wonderful flour millers, really really top notch, international level flour millers – so when that hits them, that will also hit us.
“We’ve already had to increase some prices for energy, so the next one, we’ll just see what happens for flour.”
Ms Charters also acknowledged that every business would be experiencing the impact of the Middle East crisis.
“One of our suppliers yesterday sent out a letter that they’re having to increase their delivery charges. This is hitting the bottom line for everybody.
“For Hot Bread Kitchen, it’s sort of mandatory and written in our history, into our DNA that we have to be affordable for local people. So whenever the question comes up of looking at increasing prices, we will always try to do that so that everything that we do remains affordable for local people.”
HBK will reopen its Suva Market store in coming days as soon as it finalises some last confirmations in terms of power and permits.
The store will employ 30-35 employees, absorbing the invited “best of the best” from their other stores in the Central and Eastern divisions.
While Ms Charters did not specify the value of the refurbishment works, she said it was “in the six figures”, taking into account the level of quality work carried out – from flooring, electrics, hydraulics and equipment installed.
Once this store opens, the food bus presently serving customers from the Suva Flea Market carpark will retire.
Hot Bread Kitchen managing director Vanessa Charters unveils the signage of their Suva Market flagship store at the soft launch held at the Yatu Lau Arcade yesterday. Picture: TIMOCI VULA
Hot Bread Kitchen managing director Vanessa Charters with members of her executive management team at the soft opening of the Suva Market flagship store at the Yatu Lau Arcade yesterday. Inset: Ms Charters unveils the plaque marking the reopening of the downtown Suva store. Pictures: TIMOCI VULA
