Canada's grocery chains pledge to help cut food prices, govt says (updated)

Metro

05/10/2023 19:16

(Adds quotes from Innovation Minister paragraphs 4-5)
       OTTAWA, Oct 5 (Reuters) - The Canadian government, under
political pressure to tackle high inflation, said on Thursday
the country's five major grocery chains had made an initial
commitment to help stabilise food prices.
    Innovation Minister Francois-Philippe Champagne said
Canadians would soon see discounts on a number of food products,
as well as price freezes and price-matching campaigns.
    Prime Minister Justin Trudeau said last month that Canada
could impose new taxes on the chains if they did not come up
with a convincing plan to limit the rise of food prices.
    "Nothing is off the table ... This is Day One of a fight
that we are fighting on behalf of Canadians," Champagne told
reporters when asked whether tax increases were still possible.
    Champagne also said Ottawa would establish a special grocery
task force to monitor whether the chains were living up to their
commitments to keep food prices under control.
    The Liberals are trailing in the polls and facing 
complaints about the high cost of living and a lack of
affordable housing.
    The five chains - Metro  MRU.TO , Loblaws  L.TO , Sobeys
 EMPa.TO , Walmart  WMT.N  and Costco  COST.O  - represent 80%
of the Canadian market.

 (Reporting by David Ljunggren. Editing by Jane Merriman)
 ((david.ljunggren@tr.com; +1 647 480 7891;))