Skopje, 6 September 2010 (MIA) - Situation in the baking industry is not alarming, although wheat is lacking due to the fact that producers keep it for the cattle due to the high corn prices, say manufacturers.

"The situation is stable, but is conditioned by developments in neighboring countries. Announcements coming from Serbia say wheat prices will stagnate", said Blagoja Stojcev from the Macedonian Economic Chamber at Monday's press conference.

He said big capacities are not mulling a price increase of wheat, flour and bread at the moment.

However, situation on the domestic market will be monitored, since wheat production has decreased by 35 percent, whereas output in the surrounding countries has reduced by 20 percent.

According to chamber analyses, buyout of this year's wheat crop would intensify in the course of September.