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Inflation is the persistent increase in the average price level of a country over a period of time. Since the end of 2021, Canada’s inflation rate has been rising to 5.1%, the highest since 1991. In particular, according to Statistics Canada, the food prices in January 2022 has the biggest increase in more than a decade: it jumps to six and half per cent.
On average, the chart shows that people have to pay 5%-7% more on different types of food in 2022, in which dairy, restaurants, bakery, vegetables and fruits have the biggest increase. In the real life, it means a Canadian family of four has to pay $1000 more on groceries per year.
COVID-19 is the main reason behind the rising food price in Canada. The outbreak of COVID has disrupted massive supply chains worldwide. Even if the farmers grow crops (wheat, barley, vegetables, fruits) as pre-COVID did, government protocols on COVID takes longer to transport from the suppliers to the retailers. Thereby, retailers encounter lagged manufacturing and packaging of the groceries, which in turn leads to slower, less efficient distribution to the physical stores and consumers all over the country. As a result, Canada has experienced a reduced food supply comparing to the pre-COVID level, which leads to increased price level. Combining to the supply chain disruption in all sectors (e.g. manufacturing, sales), it overtime contributes to the spiked inflation in 2022. Therefore, inflation means more expensive food and all consumers worse off because their wages remain the same. The low-income people suffer the most as they are more prone to limited household budget, thus poorer nutrition and health risks. Others argue that food waste nowadays is another factor behind. It reduces the availability of food and means higher food price.
To alleviate the consequences of rising food price on Canadians, some volunteers run renovated kitchen to provide pizza, soup and other food to the low-income people in Canada. To help combat food waste, supermarkets have big discounts on soon-expired food and distribute coupons to consumers. This would attract them to notice and buy cheaper food, so that people can have better nutrition. Retailers are recommend to buy bulks from the suppliers, as this makes costs in each process of the supply chain (manufacturing, packing, transportation, distribution) cheaper and overall contributes to more affordable groceries for the consumers. Some households would grow vegetables and fruits by themselves. This not only adds more joys and varieties to daily diets, but are also cheaper and healthier due to few pesticide residues. However, some may argues that this approach is practical on very small-scale and takes a longer to harvest than cash crops.
The solutions above could be all possible to tackle the rising food price in Canada, through the actions of different societal groups. Alternatively, fundamental policy changes, such as more equal income distribution and regulations on food waste, would realistically tackles this pressing issue. This corresponds to what Gisèle Yasmeen, a senior fellow with the School of Public Policy and Global Affairs at the University of British Columbia, said: "These grassroots groups are very committed, they're working very hard, they're doing great work. We need public policy change. We need programs that redistribute income, land, that address systemic inequalities." Indeed, even though it is time-consuming to achieve the objective, it is necessary as everyone has the right to access and enjoy adequate and healthier food for wellbeing.
Sources:
As food prices soar, communities find innovative ways to feed more people. CBC News. February, 2022. https://www.cbc.ca/news/business/rising-food-prices-affordability-cost-community-charity-expensive-priced-out-canadians-1.6357153
Canada's inflation rate rises to 5.1% - highest since 1991. CBC News. February, 2022. https://www.cbc.ca/news/business/canada-inflation-january-1.6353464
We'll all be paying a lot more for food next year, says Canada's Food Price Report. CBC News. December, 2021.
https://www.cbc.ca/news/business/food-price-report-charlebois-1.6277590
3 ways Canadians are cutting food costs - and why experts say those tactics won't ultimately fix hunger. CBC News. October, 2021.
As costs rise, majority of Canadians are changing their food-buying habits, survey finds. Global News. February, 2022.
https://globalnews.ca/news/8637869/canadians-changing-food-buying-habit-survey/
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