The Franzeluta company increased its bread prices by half on Monday in what was an unwelcome surprise for Chisinau residents, particularly the elderly who said they could not afford the additional expense with no more than 12 dollars a month as their pension.

The increase came just two days after the government pledged to keep prices down, promising to import grain from abroad while Russia, the Czech Republic and Kazakhstan offered humanitarian aid to make up for a nearly 40,000-tonne deficit.

However, the administration has been unable to cover the lack of grain, forcing bakers to hike their prices along with the rising cost of wheat.

Due to the drought, Moldova's wheat harvest this year was the worst in 50 years, amounting to only 163,000 tonnes.

TERRA.WIRE