Greater competition is the solution to tackling food inflation according to the federal government and more measures have been announced to make that possible.
Last week, the country’s largest grocery chains announced bigger discounts on staple items and price freezes on a wide variety of packaged foods—two months after promising federal officials that changes were coming.
That’s a good start says Industry Minister Francois-Philippe Champagne, but more needs to be done. “Is it enough?” Champagne asks, “clearly not.” “Am I satisfied? You know me, no.”
He says real change can’t occur without competition. The Affordability Act, Bill C-56, will help to bolster competition says Champagne, by allowing subpoena power to the Bureau to force companies in the grocery sector to provide information as part of market studies. Mergers will only be allowed to go forward when they benefit consumers, and new measures will help to crack down on large grocery chains who limit the ability of smaller independents to compete.
He says that practice has prevented some US-based grocers from setting up business in Canada.






















