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Food crisis could hit Canada, expert warns
Updated Thu. Apr. 24 2008 8:38 AM ET
CTV.ca News Staff
The growing worldwide food crisis could hit Canada, warns one of the country's top consumer advocates.
Mel Fruitman, of the Consumers' Association of Canada, said that while food costs in Canada are currently among the lowest in the world, that will change.
"We are going to continue to be somewhat insulated for the next little while, but then the bubble is going to burst," Fruitman told CTV's Canada AM on Thursday.
"Competition between the retailers helps us as consumers keep the price of our food basket down, but it also puts increasing pressure on the farms, on farmers, and that can't continue. Somewhere along the way the dam is going to burst."
For Canadians, the rising cost of fuel will have particular impact on the cost of food, particularly when consumers have come to expect a year-round supply of fresh fruits and vegetables in their grocery stores, Fruitman said.
"Anything that is trucked in, flown in, that comes from farther away than our normal hundred kilometres, say, is going to cost that much more to get to us," Fruitman said.
"And of course, the cost of fuel affects the cost of production of that food, it affects the cost of feed for the various animals. So, we are on a rising curve, there's no question about it."
In the meantime, Canadians can expect it to be business as usual when they shop for groceries. Retailers, so far, aren't putting limits on the sale of any food items.
Wal-Mart Canada issued a statement on Wednesday that it will not follow the lead of U.S. retailer Sam's Club, which recently put restrictions on large purchases of some types of specialty rice.
Meanwhile, there are fears in India that the domestic supply of rice will dry up, and riots have broken out in Haiti among residents who are already feeling the food crunch.
CTV's Paul Workman, reporting from India, told Canada AM on Thursday that India has cut back on its rice exports in order to keep the cost of rice down within the country. However, the move will have far-reaching consequences.
Food crisis could hit Canada, expert warns
Updated Thu. Apr. 24 2008 8:38 AM ET
CTV.ca News Staff
The growing worldwide food crisis could hit Canada, warns one of the country's top consumer advocates.
Mel Fruitman, of the Consumers' Association of Canada, said that while food costs in Canada are currently among the lowest in the world, that will change.
"We are going to continue to be somewhat insulated for the next little while, but then the bubble is going to burst," Fruitman told CTV's Canada AM on Thursday.
"Competition between the retailers helps us as consumers keep the price of our food basket down, but it also puts increasing pressure on the farms, on farmers, and that can't continue. Somewhere along the way the dam is going to burst."
For Canadians, the rising cost of fuel will have particular impact on the cost of food, particularly when consumers have come to expect a year-round supply of fresh fruits and vegetables in their grocery stores, Fruitman said.
"Anything that is trucked in, flown in, that comes from farther away than our normal hundred kilometres, say, is going to cost that much more to get to us," Fruitman said.
"And of course, the cost of fuel affects the cost of production of that food, it affects the cost of feed for the various animals. So, we are on a rising curve, there's no question about it."
In the meantime, Canadians can expect it to be business as usual when they shop for groceries. Retailers, so far, aren't putting limits on the sale of any food items.
Wal-Mart Canada issued a statement on Wednesday that it will not follow the lead of U.S. retailer Sam's Club, which recently put restrictions on large purchases of some types of specialty rice.
Meanwhile, there are fears in India that the domestic supply of rice will dry up, and riots have broken out in Haiti among residents who are already feeling the food crunch.
CTV's Paul Workman, reporting from India, told Canada AM on Thursday that India has cut back on its rice exports in order to keep the cost of rice down within the country. However, the move will have far-reaching consequences.
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