Olmert may negate rise in bread price

Oil prices drop 10%, first time in a year, but bread prices rise 6.57%.

olmert 298 88 aj (photo credit: Ariel Jerozolimski [file])
olmert 298 88 aj
(photo credit: Ariel Jerozolimski [file])
Bread prices are increasing by an average of 6.57 percent Tuesday, Tzvia Dori, the supervisor of prices in the Industry and Trade Ministry, announced Monday. She attributed the rise to an increase in fuel costs. Meanwhile, after a year of a steady increase, the price for oil dropped Monday night by 10 percent, Army Radio reported. Historically, in Israel, every time there has been a rise in oil prices, the price of bread has also gone up accordingly. Acting Finance Minister Ehud Olmert, however, told the head of the Labor and Public Services Committee, Haim Katz, that he would consider negating the increase in bread prices. In response to the increase in bread prices, National Religious Party head, Zvulun Orlev, said Monday night that his party would file a no-confidence proposal in the Knesset. "Using the increase in oil prices as a pretext to raise the price of bread is a thoughtless and stupid decision because the oil prices are due to drop tonight," said Orlev Monday night. Shas Party chairmanm, Eli Yishai said Tuesday morning that, "the government was fighting the poor instead of poverty." A 750-gram loaf of brown bread will now cost NIS 3.45 instead of NIS 3.25, as will a 750-gram loaf of white bread. A 500-gram loaf of hallah will cost NIS 3.80 instead of NIS. 3.55.