Rising cost of butter means the croissant could be toast

LIFE without croissants would be an unimaginable hardship for many in France, but bakers are warning that the very existence of the delicacy is under threat from the rising cost of butter.

The wholesale price of the commodity has almost doubled in the past 13 months as demand for milk and other dairy products has risen in Asia because of changing food habits.

In western countries, demand has also risen following the discovery that butter, once associated with a high risk of heart disease, poses less of a health risk than previously believed.

Matthieu Labbé, of the French Bakers’ Federation, warned that the price of croissants and other French specialities such as brioches and tarts would have to be increased sharply.

“We’re worried that we may no longer even be able to find butter in the next few months because supplies are running short and we could be forced to halt production,” Mr Labbé said.

The phasing out of EU dairy quotas has also led to an increase in butter prices and world demand now exceeds supply, according to the federation.

Croissants are made up of about 25 per cent butter, but the crucial ingredient now costs bakers €5.37 (£4.73) a kilo, compared to only €3 in April last year. Retail prices have risen less sharply, but the Bakers’ Federation is appealing to supermarkets to pay more for their croissants and pastries.

Jérôme Blouet, who runs a small bakery in Paris that charges €1.10 for a croissant, said he had been unable to pass on the price increases to customers. “My profit margins are shrinking but I can’t increase prices because customers will stop coming,” he said.

Many French families still buy fresh bread and croissants daily, even if some now prefer cheaper supermarket prices.