Inflation rate is declining in Canada but not being felt at grocery stores
The inflation rate in Canada is on the decline, but that drop is not being seen in grocery stores yet.
The Canadian Federation of Independent Growers says that ironically some of the highest prices are being found in the same places where consumers find the farmers who produce the food.
According to Gary Sands, “The cost of transporting goods is always more significant on those rural and remote communities. Fuel surcharges in many of those communities in Canada have actually tripled. There’s just no way you can avoid not passing on those increases if your fuel surcharges and your delivery charges are tripling.”
Sands says that there is not just one contributing factor to these higher prices.
There is just a myriad of factors. Everything from climate calamities, flooding in BC, drought. We still have the war in the Ukraine and Russia, which is having a continued ripple effect. We rely more on imports, adding costs right through the entire supply chain,” he adds.
Sands says that a Canadian grocery code of conduct would help level the playing field for stakeholders, but he does not think that would help with increasing prices.