The Toronto Star reports that Canadian annual food inflation rate has hit a 41 year high and people are going hungry.
While the 'advertised' rate of inflation is said to be 7.0% in August that rate doesn't seem reflected in the grocery store.
I noticed at the first of the year that although a low inflation rate was being claimed that staples such as eggs,butter, milk, rice, and flour all took about a one third price hike. I do most shopping at Costco and am very familiar with their prices.
Many regular fresh produce items were simply priced out the food budget. Meat on the other hand seemed to be less effected but still was edging upward.
There doesn't seem to be any real explanation being offered but disruptions in supply (said to be Covid related) would be having impact. Government policies are likely contributing factors with some questioning the impact of carbon taxing on agriculture production and of course everyone feels the pain at the pumps.
The huge rise in fuel costs have impacted everything from personal inflation to increased trucking costs. All of these increases are finally born by the end consumer, and that is you and I friend.
Those seated in their ivory towers may be orchestrating some grand society reset which is even evident on Nanaimo City Council and for the short term are not feeling the pain of their elitist decision making.
There seems nothing on the horizon that would suggest food prices will come down anytime soon, and in fact heading into winter could continue to climb.
Pressure being put of food production in North America could make this year look like the 'good old days' come this time next year.
One more thing ......
If you think we are in bad shape, think again. You have to look no further than Argentina to see the results of inept government policies. They are reporting a 100% inflation rate and their banking system has now raised interest rates to 75%!
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