Canadians continue to face significant pressure at the grocery store as food inflation remains stubbornly high—outpacing general inflation across most provinces. In an interview with agri-food expert Sylvain Charlebois, Senior Director at Dalhousie University’s Agri-Food Analytics Lab, the current food pricing crisis was dissected, revealing a web of economic and political challenges contributing to the rising costs.
According to Charlebois, while the United States has seen a decline in food inflation, Canada now leads the G7 with the highest rate as of April. The difference between overall inflation and food inflation is especially sharp in provinces like Saskatchewan and Alberta, where the gap exceeds 3.5%.
Several domestic factors are contributing to this trend. Tariff confusion, stemming from countervailing duties applied and then quietly dropped, has added uncertainty to food supply chains. These tariffs, formally lifted in April and effective in May, have received little public attention. Charlebois notes that many companies have already stopped paying these duties, signaling a potential easing of prices in the months ahead.
Retail giants like Loblaw have raised alarms, suggesting a surge in tariff-impacted products, but experts believe this may be a strategic move to pressure Ottawa for better trade policies. Unlike U.S. giants such as Walmart, Canadian retailers operate with tighter margins and less flexibility to absorb international cost pressures.
Meanwhile, consumers are adapting by shifting their behavior. Bulk buying is on the rise, and spending in food service is climbing slightly—indicating a search for convenience and value. Despite inflation, total grocery spending has remained steady, suggesting households are shopping smarter.
Charlebois emphasizes the need for greater transparency from government and industry to help Canadians and entrepreneurs navigate the uncertain economic landscape.
Mario Toneguzzi
Mario Toneguzzi is Managing Editor of Canada’s Entrepreneur. He has more than 40 years of experience as a daily newspaper writer, columnist, and editor. He was named in 2021 and 2024 as one of the top business journalists in the world by PR News. He was also named by RETHINK to its global list of Top Retail Experts 2024 and 2025.
About Us
Canada’s Entrepreneur is the number one community media platform in Canada for entrepreneurs and business owners. Established in 2016, our podcast team has interviewed over 800 Canadian entrepreneurs from coast-to-coast. With hosts in each province, entrepreneurs have a local and national format to tell their stories, talk about their journey and provide inspiration for anyone starting their entrepreneurial journey and well- established founders.
The commitment to a grass roots approach has built a loyal audience on all our social channels and YouTube – 500,000+ lifetime YouTube views, 250,000 + audio downloads, 50,000 + average monthly social impressions, 15,000 + engaged social followers and 120,000 newsletter subscribers. Canada’s Entrepreneur is proud to provide a local, national and international presence for Canadian entrepreneurs to build their brand and tell their story
