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"Much will depend on the variation in the prices of raw materials and energy, but it will very likely increase, even due to the impact of the increase in the minimum wage", said the direction of the Association of Commerce and Bakery Industry (ACIP).

According to the association, only part of the increases has been reflected in the price paid by the consumer, the remainder has been borne by producers who, in turn, have seen a drop in profit margins.

Between January and October, there was an increase in the consumption of bread and pastries in Portugal, driven by tourism.

However, especially in the last quarter of the year, inflation penalized this positive evolution.

Consumers thus began to choose cheaper, smaller products and also in a smaller quantity.

“Customers are looking for cheaper bread. They will not stop buying pastry products, but there is a reduction in the consumption of this type of product”, underlined the ACIP.