Report: Canada's food prices are going to rise in 2018

Dec 14 2017, 1:19 am

Food prices are going up in Canada, according to a new report from Dalhousie University.

The university conducted their annual study to determine the projected increases for the country’s food prices and to identify the factors likely responsible for these changes.

The report cites the two biggest reasons for rising rates: La Niña and convenience.

Research in the study forecasts slight bumps in multiple food categories, the biggest being vegetables, which are projected to rise in price by 4-6% in 2018. This is due to climate conditions such as La Niña, whose winters can prevent storms from delivering snow and rain to regions which in turn affects crops.

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Other staple food categories like bakery products, meat, seafood, and dairy are not expected to rise by more than 2%.

Another factor that will drive food expenditure increases for Canadians? Convenience. The study projects that Canucks’ love for dining out and take-out food will increase, and so will the prices.

Shutterstock_Friends eating at a restaurant

Friends eating at a restaurant/Shutterstock

Here is the full list of expected price increases:

Restaurants 4% – 6%
Dairy 0% – 2%
Fruits 1% – 3%
Bakery 0% – 2%
Meats 0% – 2%
Vegetables 4% – 6%
Seafood 0% – 2%
Food 1% – 3%

Individual provinces such as BC will see higher prices due to higher inflation rate, while Alberta and Ontario face a more competitive grocery industry, which is expected to keep competing grocers to keep their prices as low as they can.

But all in all, food prices are expected to increase across the board in Canada.

These changes have put the annual food expenditure for a family of four in 2018 to rise by about $348, bringing the total amount to $11,948 for food per year.

Daily Hive StaffDaily Hive Staff

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