Canada’s inflation rate is plummeting, so why are grocery prices still so expensive?
evranch @ evranch @lemmy.ca Posts 2Comments 465Joined 2 yr. ago
evranch @ evranch @lemmy.ca
Posts
2
Comments
465
Joined
2 yr. ago
As a farmer we haven't even seen the beginning of food inflation. The entire country and much of the world is in drought, and we're only entering this El Nino cycle.
I sold all my animals and my crops are a wash. Drought has crushed yields over a vast area of Canada's agricultural land. Combining the other factors at play such as war between two massive grain producers, there's a chance that global food demand could actually outstrip production this year, for the first time since the start of the Green Revolution.
With that said, processors and middlemen are definitely grabbing the large portion of the increased value of food at the stores. Cattle prices are up but nowhere near the extent that beef has risen, and will soon plummet as animals are dumped on the market for lack of feed. What won't plummet is the consumer price of beef, I can almost guarantee it. And I shudder to think of what grain and bread prices could be by the end of this year. Very glad to have a freezer of meat, huge garden, a good wheat grinder and bins of grain that would last my family decades.