The Competition Bureau will scrutinize price increases at the grocery store

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The Competition Bureau will scrutinize price increases at the grocery store

In September, the price of food sold in stores jumped 11.4% year on year.

Competition Bureau launches food industry study to examine rising prices.

In a news release, the federal regulator announces that it will examine various issues with the aim of recommending actions that governments can take to help improve the competition in this sector.

It is in a context of rising inflation and declining purchasing power that the Competition Bureau intends to put some order.

Grocery prices in Canada are rising at a rate not seen in 40 years, he notes.

Will the rise in the price of the grocery cart eventually stop?

But beyond the findings, the Competition Bureau is particularly interested in three questions to determine to what extent rising grocery prices are linked to changes in competitive dynamics. It is also about learning from the experiences of other countries to increase competition in this sector.

Finally, the study tries to see how governments can reduce barriers entry and expansion to drive competition for consumers.

During the study, we will talk to retailers of all sizes in the grocery industry. We will talk to federal, provincial and territorial governments, as well as municipal governments. We'll talk to experts who study the Canadian grocery industry. And we'll talk to people around the world to learn about best practices, reads the Competition Bureau's backgrounder.

The Grocery Cart costs 10.8% more since the start of the year and the profits of large grocery chains have more than doubled, according to a recent study by the Institute for Socioeconomic Research and Information (IRIS).

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Pierre-Antoine Harvey, economist and associate researcher at IRIS, believes that the government has a role to play in ensuring better competition.

To do this, the Canadian Competition Bureau, which is responsible for monitoring market concentration, should be better equipped.

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