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Food Prices In Canada Forecast To Rise 4% In 2020

Canadians can expect to pay more for food next year, according to the latest "Food Price Report" issued by Halifax's Dalhousie University and the University of Guelph.

Food prices in Canada are forecast to rise 2% to 4% next year, above the current rate of inflation, according to the study. It predicts households will pay an average of $12,667 in total for food in 2020, an increase of $487 compared with 2019 figures.

The study warns that, from a macro perspective, climate change will be a significant driver of increased food costs. The study notes that 10% of Canada’s greenhouse gas emissions currently come from crop and livestock production. That figure doesn’t include emissions from fossil fuels or fertilizer production.

Of all food categories identified in the study, meat prices are predicted to rise the most — compared to bakery, dairy, fruit, vegetables, restaurants, seafood and other. Meat prices could go up 6% in 2020, according to the study.

The study links the astronomical rise in produce prices to unforeseen circumstances, in particular the outbreak early this year of E.coli infections linked to romaine lettuce grown in northern and central California. The outbreak has affected prices of both other leafy greens such as kale and vegetables as a category. More recently, health officials in the U.S. and Canada disclosed late last month another illness outbreak linked to romaine lettuce.