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Calls to the Canadian Dairy Commission to pause milk price hikes (Photo 36562821 © Niloo138 | Dreamstime.com)

Independent grocers call for milk price pause amid pressure to keep food costs down

Oct 10, 2023 | 10:39 AM

The Canadian Federation of Independent Grocers is calling on the Crown corporation that manages dairy supply and pricing to hit pause on any further increases to milk prices amid political pressure to keep food prices down.

The Canadian Dairy Commission reviews the price dairy farmers are paid for their milk every fall and announces whether that price will increase or decrease the following February.

The federation’s senior vice-president Gary Sands wrote in a letter to the commission Friday that the grocery industry is in an exceptional situation this year.

The food industry is currently under pressure to keep prices stable, with Industry Minister Francois-Philippe Champagne calling on the major grocers to come up with plans to stabilize prices.

Last Thursday, Champagne announced the major grocers have promised to offer discounts, price freezes and price matching.

Sands argues that any increase in milk prices at the beginning of the supply chain would go against the government’s objective to stabilize food prices.

(The Canadian Press)