Procurement Australia News

Consumers pay more for gluten-free bread

Written by Joel Mence | May 14, 2024 12:06:09 AM

For gluten-free products, individuals with dietary restrictions often find themselves paying a premium at the checkout counter. Research from the University of Wollongong back in 2016 revealed that Australians were shelling out up to 17% more for a gluten-free diet.  

But why the hefty price tag on allergen-free products? One significant factor lies in the ingredients. While regular and allergen-free bread share many common components, the substitution of wheat flour with gluten-free alternatives can significantly hike up production costs. Specialised ingredients like gluten-free grains, seeds, and nuts are not only pricier but also more challenging to process and obtain in large quantities. 

Manufacturing and transporting further contribute to the price disparity. Regular products benefit from economies of scale, with large volumes driving down production costs. In contrast, allergen-free items involve smaller batches and stricter quality control measures, making manufacturing more complex and costly. 

The Procurement Australia Bread and Bakery solution helps ease the burden of high prices. Partnering with our supply partner Goodman Fielder, together with Procurement Australia ensures competitive pricing on a wide range of Australian bread and bakery products. By leveraging national distribution networks and offering flexible ordering options, this member solution aims to make allergen-free products more accessible and affordable for consumers across Australia. 

Source: https://theconversation.com/why-is-gluten-free-bread-so-expensive-a-food-supply-chain-expert-explains-223648