TPM: 'Dairy goods are expected to climb. The Canadian Dairy Commission's (CDC) approved a second milk price increase "which will see farm gate milk prices go up about two cents per litre, or 2.5 per cent, on Sept. 1," reports BNN Bloomberg.
'Dairy companies also plan to add their own price increase, thereby "piggybacking" off of price hikes. Lactalis Canada told customers it will implement an average national market increase of five percent in September, which it attributes to "significant inflationary costs" and the CDC's pricing increase.
'Consumer price inflation has seen record increases, with prices in May rising 7.7 percent last month, up from the 6.8 percent increase seen in April, according to government data...'
Canadian food suppliers are expecting inflation to drive up grocery store prices further due to rising prices for goods and services. As inflation rises, the cost of food production and distribution also rises.
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