Customers should get ready to pay more for food as stores pass on the cost of the weakened Canadian dollar, says Galen Weston Jr., head of Canada’s largest grocery company, Loblaw. Weston says international suppliers are putting pressure on the corporation to raise prices since the Canadian dollar lost more than one-tenth of its value relative to the U.S. dollar since July 2014.
Loblaw stores have already hiked prices for some groceries more than usual.
Canada imports food from the U.S.
Many fresh fruit and vegetables are imported into Canada from the United States, as are processed, preserved and frozen foods.
In 2012, families spent $5,572 on food, according to government statistics. That went up to $5,754 in 2013. The average family income in 2013 was $77,381.
Loblaw profits jumped
Loblaw reported a big jump in its first quarter profits today. Its overall revenue for the quarter ending March 22 was $10.05 billion, up 37.8 per cent from the same time last year. Most of the higher revenue came from its purchase of Shoppers Drug Mart, Canada’s largest pharmacy retailer.
For reasons beyond our control, and for an undetermined period of time, our comment section is now closed. However, our social networks remain open to your contributions.