Canadian families will continue to grapple with rising food costs, reveals the latest Canada’s Food Price Report.
This annual analysis, now in its 14th year, is a collaborative effort involving experts from Dalhousie University, the University of Guelph, the University of Saskatchewan, and the University of British Columbia.
Utilizing a blend of historical data, machine learning, and predictive analytics, the report anticipates an overall food price hike of 2.5% to 4.5%. This increase means the average family of four will spend an estimated $16,297.20 on food, up by as much as $701.79 compared to last year.
The report highlights significant price surges of 5% to 7% in bakery, meat, and vegetable sectors.
Dr. Sylvain Charlebois, the project lead and Director of the Agri-Food Analytics Lab at Dalhousie University, noted the financial challenges faced by Canadian families in 2023, exacerbated by environmental disasters, global conflicts, and internal economic pressures. The year witnessed a record 2 million food bank visits, a startling 78.5% jump since March 2019.
The report also finds that food prices will increase in all provinces except British Columbia, Newfoundland and Labrador, PEI and Quebec.
The report finds that despite inflation, Canadians spent less on food in the past year, a reduction that alarms researchers. This decline in spending is interpreted as a sign of decreasing food quantity and quality in Canadian diets. The loss of consumer trust in food corporations is another concern, with allegations of profiteering and legal actions like the Canada Bread Company’s guilty plea to price-fixing.
The report also gives examples of various kinds of household compositions and their predicted annual food expenditure for 2024 to help Canadians plan their financials for the new year:
- a four-person household with two children could spend $16,297.20;
- one adult with two children might spend $9,261.53;
- a household of two women and two children is estimated at $15,323.44;
- couple of adults has a predicted expenditure of $7,715.78;
- a couple expecting a child is anticipated to spend $8,732.71 on food.
The report brings a ray of hope for 2024. Researchers like Andrea Rankin and Stuart Smyth suggest that Canadians might experience more stable food prices, offering a much-needed respite from the steep increases of previous years.
“The estimated increase of 2.5-4.5% for 2024 provides customers with much-needed relief from the higher increases observed in previous years,” said Stuart Smyth, Chair of Agri-Food Innovation and Sustainability Enhancement at the University of Saskatchewan, in a new release. “They should expect to see a degree of stability return to food prices. I am optimistic that the phrase ‘sticker-shock’ will become less commonly used throughout grocery stores in 2024.”
See more here: Canada’s Food Price Report 14th Edition 2024