Greek bakeries, pastry shops, and food-service businesses warn of further price increases as high electricity bills and labor costs squeeze operating margins, while a planned €95 million energy support package for industry excludes SMEs.
The concern extends to everyday products, including bread, pastries, rusks, breadsticks and sweets. Business representatives say many small operators can no longer absorb rising costs, leaving them with difficult choices: raise prices, struggle to pay electricity bills, or risk closing.
For consumers, the prospect of higher prices comes as another reminder that energy costs can reach far beyond factory gates and into the daily household shopping basket.
Small Bakeries Say Energy Costs Are Unsustainable
Babis Lekakis, president of the Heraklion Federation of Professionals, Craftspeople and Merchants (OEVENI), told ekriti.gr that energy costs have become increasingly difficult for small businesses to manage.
He argued that the latest support measures leave thousands of small and medium-sized enterprises across Greece without equivalent assistance.
Lekakis also warned that businesses struggling to pay their electricity bills risk power cuts, which could ultimately force them to close.
For bakeries and pastry shops, electricity is an essential operating expense. As costs rise and margins shrink, bakeries and pastry shops find it hard to avoid passing some of the additional expense on to customers, even as consumers struggle with higher living costs.
Bread, Pastries, and Other Staples Could Become More Expensive
Elsa Koukourimia, president of the Thessaloniki Bakers’ Association, told MEGA that the sector is under pressure and that increases are happening daily.
Products potentially affected by rising production costs include:
- Bread and bakery products
- Rusks and breadsticks
- Koulouria and tsoureki
- Pasta
- Savory pastries and sweets
The reports point to mounting pressure on producers, but they do not establish the timing or size of any nationwide price increases. Individual businesses will decide based on their costs and financial position.
€95 Million in Electricity Support, but Many SMEs Are Excluded
The planned €95 million electricity support package is intended for industry, but the report says it excludes energy-intensive small and medium-sized businesses. Refineries are also excluded.
The first payments to businesses covered by the scheme are expected in early 2027.
For smaller food businesses, the support gap is particularly significant because electricity is a core production expense that can’t easily be reduced without affecting operations.
What Bakeries Want
In a letter to Greece’s Ministry of Environment and Energy, industry representatives have requested targeted subsidies for electricity bills.
Their proposed support rates are:
- €0.07 per kilowatt-hour for bakeries and pastry shops.
- €0.05 per kilowatt-hour for food-service businesses.
The proposal is intended to ease operating costs and help businesses maintain their viability without repeatedly raising prices.
Whether the government will extend energy support to these smaller businesses remains unresolved.