Canadians are increasingly choosing local food products over other options amid Canada’s ongoing trade dispute with the U.S., according to a new report.
Based on a survey of nearly 3,000 Canadians, the report also found that food inflation remains a top financial concern for Canadians, who say they are spending more on groceries every month.
Sylvain Charlebois is a professor in food distribution and policy and the scientific director of Dalhousie University’s Agri-Food Analytics Lab, which released the biannual Canadian Food Sentiment Index report on Thursday.
“Canadians remain deeply concerned about food affordability,” Charlebois told CTVNews.ca. “Consumers are adapting their purchasing habits to cope with economic uncertainty much more strategically now compared to before.”
Buying local
The report reveals that a growing number of Canadians are showing a preference for local food products. According to the survey, 51.9 per cent of respondents always or often choose local food over other options, a significant increase over a year ago when that number was 33.5 per cent.
Canadians are also paying attention to where their food comes from, with 55.8 per cent of respondents saying they “often” or “always” check where their food was produced or originated.
These figures come amid an ongoing trade dispute between the U.S. and Canada, which has prompted many to avoid American products and “Buy Canadian.”
“There’s a measurable movement to support Canadian products,” Charlebois explained. “And we actually expect that sentiment to help many Canadian-made products over the holidays.”
Food affordability
Food affordability continues to be a top financial concern for Canadians, with 80.6 per cent of respondents reporting that their food expenses had grown over the past year.
With food insecurity reaching a record high, just over a quarter (25.5 per cent) of respondents reported struggling to afford food, while nearly half (48.6 per cent) said they seek out sales and discounts due to food inflation. Affordability was also the biggest factor affecting food purchasing decisions (43.2 per cent) followed by nutrition (28.8 per cent) and taste (15.3 per cent).
“You can sense that there is prudence out there,” Charlebois said. “And people are approaching grocery shopping with … a lot more strategic thought than before. It’s not just an automatic ‘go in, grab and go’ thing, there’s more thought given to the process.”
Canadians also report spending more on food, with average household spending climbing to $515 per month, up from $497 six months ago, with most of the increase coming from grocery stores.
According to Statistics Canada, food prices were up 3.4 per cent in October compared to a year ago, while the overall consumer price index rose by 2.2 per cent in the same period.
“People are spending more at the grocery store,” Charlebois added. “Whether or not they’re getting more for their money, that’s not as easy to measure, but they are spending more at the grocery store in dollars.”
Consumer trust
When it comes to consumer trust in food institutions, major grocers continue to rank at the bottom of the list with a score of 2.99 out of five. Independent grocers fared slightly better with a score of 3.31 among survey respondents. Canadian farmers earned the most trust with a score of 3.63.
“The trust in major food systems – institutions, government, industry – remains fragile, especially with grocers in particular,” Charlebois said. “Food inflation was down in the spring, trust was up and now food inflation is up again, and consumers trust is down.”
Methodology
The latest edition of the Canadian Food Sentiment Index report was based on a survey of 2,977 respondents across Canada. Conducted on Oct. 9, survey results were weighted according to the most recent census data. It is the third installment of the biannual report, which was launched in October 2024 to track consumer attitudes in Canada. Released in May, the last report highlighted Canadians’ increased anxiety about food affordability.
