This archive report was first published on 28 June 2021.
June 28, 2021, marked a significant shift in the Kenyan bread market. For decades, bread was a luxury item reserved for special occasions, but today it's a staple in many urban homes.
Thanks to the rise of home baking and the proliferation of corner bakeries, bread is no longer a preserve of the rich or city dwellers. Anyone with a simple oven can bake their own bread in the comfort of their own home or buy it on the cheap from local bakeries.
The big manufacturers, including Festive, Elliots, Supa Loaf, and Broadways, are now fighting for market share with mini bakers and homemade bread. Major supermarkets have also entered the fray, making their own bread in their bakery sections and selling it at a lower price.
Broadways Bakery Managing Director Bimal Shah acknowledges the changing landscape but insists that the rest of the crowd has some catching up to do. 'Home baking is not for poor people. It is done by those who want to have something different and can afford a small oven in the house,' he said.
Shah encourages home baking, citing its benefits to consumers and the potential for others to earn a livelihood. 'We are not against home-based bakeries. It is how people will grow to bigger businesses,' he added.
Established bakeries have also been affected by government policies, including a proposal to impose a 16% value-added tax on bread. However, MPs shot down the proposal and instead suggested zero-rating wheat, a key ingredient in bread production.
The price of bread has also been a point of contention, with many popular brands failing to meet the required 400-gram weight. The Competition Authority of Kenya has reprimanded bakers for misleading consumers about the expiry date of their products.
Flora Inoda, a bread baker, started her enterprise in response to these issues. She sells a 400g loaf of bread at Sh50, which is cheaper than some established brands. Broadways' Shah has had to innovate to keep up with changing tastes and preferences.
