The Canadian government under Prime Minister Mark Carney has announced a new plan to improve the country's food security and help reduce the cost of groceries that are increasingly burdening citizens.
The plan allocates about CA$3.2 billion over 10 years to strengthen the local food industry, reduce reliance on imports and increase competition in the food retail sector.
Rising food prices have been a major issue in Canada in recent years.
In April, grocery prices rose 3.8% from a year earlier and jumped about 31% compared to 2020 when the Covid-19 pandemic began. This situation has caused many consumers to face higher living costs.
As part of the plan, the government will establish a CA$1 billion financing fund to help small and medium-sized food processing companies expand their operations.
The move is aimed at ensuring that more food is processed domestically rather than shipped abroad before being re-imported as more expensive finished products.
In addition, the government has also allocated CA$1 billion for the development of food infrastructure such as distribution centers and food hubs.
This facility is expected to help independent retailers compete with large supermarket chains and give consumers more options to buy directly from wholesalers and farmers.
To reduce dependence on imported fruits and vegetables, the government is providing CA$750 million to support agriculture in controlled environments such as modern greenhouses that allow for year-round food production.
According to Carney, a country needs to be able to produce its own food to ensure sovereignty and protect its people from disruptions in the global supply chain and the effects of international tariffs.
Through this plan, Canada hopes to stabilize food prices, increase domestic production and provide long-term benefits to consumers.
