West Australian bakery Mias has been placed into voluntary administration.
The family-owned bakery, which has been trading since 1950, employs about 150 staff.
Mias chief executive Conrad Mias said the low bread price was one of a number of factors leading to the company’s financial problems.
He said the introduction of Aldi into the market had led to less demand from other major supermarket chains.
“Obviously with Aldi moving into WA over a year ago, our market’s been shrinking since their introduction,” he said.
“I don’t see how a bakery can make bread and remain viable for 85 cents … you will not survive over an extended period of time with pricing where it is.”
Mr Mias said for bakeries to survive selling bread at that price point, they would have to be selling large volumes.
Mias chief executive Conrad Mias said the Government needed to realise Australia’s bakery industry was facing problems. (ABC News: Angus Sargent)
“There’s dire problems with the Australian bread market because I don’t think you’ll see too many bakeries making money,” he said.
“It’s similar to the dairy industry, there’s going to be casualties and I’m just hoping it’s not going to be us.
“Enough is enough. I think the Federal Government should start having…