Food and Beverage Canada Applauds Minister Champagne’s Initiatives to Tackle Food Prices, Underscores the Need to Protect Canada’s Food and Beverage Manufacturers

October 5, 2023 (OTTAWA) – Food and Beverage Canada (FBC-ABC) appreciates the announcement today made by Minister Francois-Philippe Champagne on Ottawa’s strategy to help support industry combat food price inflation. In recognizing the complex nature of this issue, we echo the Minister’s sentiments that achieving price stabilization requires the engagement of every link of the supply chain.

FBC-ABC’s members have been facing inflationary pressures and are contending with escalating expenses across their operations. Our hope is that the measures taken to address these issues, such as price freezes and discounts, will not negatively impact Canada’s food and beverage manufacturing sector, the majority of which is made up of small and mid-sized enterprises.

“The past few years have presented unprecedented challenges for our sector – from critical labour shortages and disruptions in supply chains to climate emergencies, natural disasters, and transportation disruptions, the strain on our food supply chain has been immense”, said Kristina Farrell, FBC-ABC CEO. “We are encouraged by the Minister’s emphasis on the need for actions taken by industry actors to not negatively impact food producers”.

We commend the federal government for its advocacy on the Grocery Code of Conduct and would like to underscore the necessity of making this Code both mandatory and enforceable. This is vital to ensure that it effectively supports the interests of small and mid-sized enterprises, considering the fundamental issue that led to its creation – the imbalance of negotiating power stemming from the high concentration in Canada’s grocery retail sector in comparison to the multitude of small and mid-sized Canadian food and beverage manufacturers.

Food and Beverage Canada remains open to participating in discussions, with government and industry, aimed at finding solutions to address food prices, recognizing that collaboration between stakeholders and government is crucial in addressing these complex issues effectively.

Media contact:
Kristina Farrell, FBC-ABC CEO