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Food prices to rise in 2017

President of the Canadian Federation of Independent Grocers says it’s time for Canadians to consider alternative proteins, including ant

The president and CEO of the Canadian Federation of Independent Grocers says the good food news for 2017, is that with the drought in California seemingly over, the price of imported fruits and vegetables could go down in B.C.

The bad news?

“The cost of protein will continue to go up,” said Thomas Barlow during a recent phone interview from Calgary. “That’s driven by the price of crops going up so it costs more to feed them.”

 

Lifetime-Barlow
Thomas Barlow, president of the Canadian Federation of Grocers.

Barlow said another reason for the rising cost of protein is illness. When farmers are forced to destroy barns full of chickens due to avian illness, that shortage forces a rise in the cost. He added the high rate of exchange between the Canadian and U.S. dollar isn’t helping.

“And when large companies like McDonald’s and A & W expanded to provide all-day breakfast, that put real pressure on suppliers and caused an egg shortage,” said Barlow. “That’s what happens when these large behemoths make a decision across the board like that.”

Barlow said the expected rise in grocery costs in 2017, will particularly affect anyone living on a low or fixed income, including seniors. A recent study published by Canada’s Food Price Report is warning the average food bill could increase by five per cent in 2017. How to deal with the rising cost of food is just one of the issues on the agenda during Grocery Specialty Food West Show 2017, which takes place March 20 and 21 at the Vancouver Convention Centre. The show is also an opportunity for grocers to network, identify new opportunities and gain insight on a business that influences household decisions every day.

Barlow said retailers are trying to come up with ideas to help combat rising food prices, including the creation of online apps that give consumers immediate access to coupons. Offering lower-priced bulk sale is also an option.

“They can offer larger discounts on bulks sales than they can if you only buy one pound at a time,” said Barlow, who noted it’s likely the cost of protein traditionally served in Canada will only continue to climb.

Barlow said it could be time for Canadians to rethink just what it is they consider acceptable protein. He noted consuming protein from insects, such as ants, is not considered unusual in many parts of the world and it could be time for Canadians to consider these alternative options.

“The pressure on the food supply is not going down,” said Barlow. “There was a time when people thought eating sashimi [raw fish] was unusual, but now it’s the norm. Maybe it’s time for us to consider insects as protein.”

Barlow said it’s easier than ever to try unusual foods at your neighbourhood grocery store because including an ethnic section has become common.

“In many cases half the store is ethnic,” said Barlow. “There was a time you had go to the Korean grocery store to find Korean ingredients, but that’s not the case anymore.”

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@sthomas10