Consumers caught between grocers and suppliers in rising prices
Posted February 2, 2023 4:24 pm.
Last Updated February 3, 2023 9:15 am.
As Loblaws unfreezing prices on no-name brands draws the ire of Canadian consumers, one food supply expert says it’s a tense time in the industry and Canadians are caught in the middle.
“Consumers will recognize that a ten per cent increase is tough on them, but it’s also tough on the food industry negotiating those prices,” explained Dr. Sylvain Charlebois, food supply with Dalhousie.
Canadians are not happy about rising grocery prices, Loblaws and more specifically president Galen Weston Jr. — who is taking the brunt of the blame when it comes to high grocery bills.
The company has been actively responding to critics on social media saying high prices are coming down from suppliers.
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Dr. Charlesbois says while Weston naturally takes the blame, being prominent in advertising for the chain all grocery stores are under the same pressures.
“We have the second-lowest food inflation rate in the world, only Japan is lower. So obviously what’s going on in Europe and the US is impacting our food prices. So it’s hard to blame Galen Weston for what’s going on in Germany.”
A report from Statistics Canada shows the price of groceries in December was up by 11 per cent compared to the year before.
“It’s tough for everyone. The food industry is charging the price so they can hire people. So they don’t go bankrupt,” advised Charlesbois.
