He said the flames were most clearly visible at the back of the building.
"It was really well ablaze."
He said once firefighters arrived, they managed to control it relatively quickly.
Taj Spice owner Buddhi Bhandari, whose business neighbours the bakery, said his food storage area had sustained smoke and water damage, but that the worst of it was mostly confined to the bakery.
He said he could not be sure of the full extent of the damage as there was no power and it was dark when he went through.
He said Taj Spice would not be able to open for at least a couple of days after Christmas, which was disappointing.
It remains unclear if the bakery will be able to reopen.