Be prepared to pay more at the grocery store: Food Price Report

A new study shows the average Canadian family will pay $487 more on food in 2020. Canada’s Food Price Report was released this week by the University of Guelph’s Arrell Food Institute (AFI) in collaboration with Dalhousie University’s Agri-Food Analytics Lab.

The forecast shows the average Canadian household total grocery bill will rise to $12,667. The culprit? The finger is being pointed at the rising cost of meat, produce, and seafood which has gone up anywhere from four to six per cent.

“If U.S. President Donald Trump’s election campaign focuses heavily on Mexico border protection, this may result in even more costly fruit and vegetables for Canadians,” says Professor Simon Somogyi, U of G’s project lead for the report and the holder of the AFI chair in the Business of Food.

“We get a large amount of our fruit and vegetables from the U.S. and Mexico, and delays at the border crossing can lead to empty grocery store shelves.”

Overall, it’s projected the national price jump will be two to four per cent. This increase is slightly higher than last year’s 1.5 to 3.5 per cent hike.

Factors contributing to the price increase also include extreme weather and food recalls, according to Somogyi.

“When rates increase quickly, families can be left behind,” says lead author and Dalhousie project lead Sylvain Charlebois, scientific director of the Agri-Food Analytics Lab. “Vegetables are a perfect example. Canada’s new Food Guide is encouraging Canadians to eat more vegetables, but they’re getting more expensive.”

The predicted four per cent jump for produce is in addition to a 12 per cent hike that occurred during the past year.

The 10th annual food forecast full report can be found by clicking here.

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