The Ministry of Social Solidarity have signed a new contract with bakeries and public enterprises sector to produce an improved baladi bread (82%). The contract has 18 items, it allows bakeries to purchase the flower 100 kg. bag at only L.E 16 instead of LE 32 in return, bakeries are committed to produce the bread at its standard and specifications. The contract also allows the bakeries to produce bread at 121 gm instead of 130 gm with no punishment fine, but if the loss in weight reached 10-20 gm, or 21-30 gm or more, types of punishments will be applied, as charging the last two weeks flouer purchases at its free market prices, or doubling that for the second punishment. The study aims at evaluating this contract economically. It used a primary field data obtained from three districts in Giza Governorate. The survey sample included consumers, Legal control officers, bakeries, and economic experts. The study showed that the wheat and wheat flouer imports values increased from us$ 544 million in 1990/91 to us$ 1470 million in 2005/06 in spite of the decrease of the quantity from 6.33 m.t to 5.05 m.t in the same period. It indicated also that in Egypt, about 13 thousand bakeries are producing baladi bread, and the average share of bread is less than 2 loafs per person per day, but it increases in border Governorates to 3.09, and decreases in South Egypt to 1.6 loaf.