Prices of perishable goods may go up ‘almost immediately,’ retailer says
It may take months for effect of Canada’s retaliatory tariffs against the U.S. to be felt, says Arctic Co-op vice-president
A spokesperson for for a major Nunavut grocery retailer says prices of some perishable goods may go up almost immediately after Canada imposes retaliatory tariffs on the U.S. Tuesday. (File photo)
Grocery prices in Iqaluit were relatively unchanged Tuesday — the first day of tariffs on American goods that the Canadian government imposed to retaliate against the 25 per cent tariffs U.S. President Donald Trump put on Canadian goods coming into his country.
A 1.36-litre carton of orange juice was $12.79 on Tuesday, unchanged from its price on Jan. 31 when Trump started getting specific about tariffs and when they would take effect.
A box of cereal was $11.99 on Tuesday, the same as it was about four weeks ago. And the cost of 100 diapers on Tuesday was $36.49, a slight decrease from its Jan. 31 price of $36.99.
Canadians spent Tuesday trying to decipher the possible impact of the 25 per cent tariffs Trump imposed at midnight on imports into his country, and of retaliatory tariffs the Canadian government put on American goods coming into this country.
The possible impact of tariffs in Nunavut may be different than what could be expected in the south, said Duane Wilson, vice-president of stakeholder relations at Arctic Co-operatives Ltd.
The price of goods such as produce, which have a short shelf life and quick turnover, could go up “almost immediately,” he said.
He noted wholesalers will find less-expensive alternatives from other markets so prices may also swing downward after an initial rapid increase.
For instance, instead of buying oranges from California, wholesalers might source them from Mexico in order to avoid the Canadian tariff on American imports. But that will take time, Wilson said.
For dry goods and many products that arrive during the summer sealift, it may take a few months for tariff-related price increases to appear because northern retailers stock up on many products for an entire year, Wilson said.
“That sword cuts both ways,” Wilson said. “Even if it [the tariff on Canadian goods] ends in July and the goods are shipped in June, then you’re still saddled with that higher cost situation,” even though they are no longer being actively imposed.
For months, Trump threatened to impose 25 per cent tariffs on all Canadian goods coming into his country. Since February, the Canadian government has maintained a targeted list of retaliatory tariffs should Trump make good on those threats.
Prime Minister Justin Trudeau said Canada will impose tariffs on $155 billion worth of American imports — $30 billion immediately and another $125 billion worth three weeks from now.
– with files from Daron Letts
As long as pepsis, export A, Mr. Noodle and juice crystals aren’t affected by this well be ok
Bepsi
Don t forget Vienna sausages
This is just a money grab tag-along.
any excuse to up the prices…100% increase once tariffs are applied to any product….
I’ve never worked retail it seems like poor leadership from Arctic Co-operatives Ltd. Northwest Company, the tariffs threat has been around since November, no plan in place? Just increase the prices and smile sorta crap?
You do realize that making these kinda changes and purchases is not as simple as saying “we are going to buy from someone else”. Let’s just take oranges for example. How are they supposed to just switch to Mexican suppliers that might not have a supply ready for us? How are they supposed to arrange the shipping and distribution of these oranges? You think something like that is arranged in a month? And remember, that is just oranges, how about 2000 other products we got from the US? You think this is something that is done overnight?
Educating yourself on how things work before bashing people over a job you clearly do not understand the intricacies says more about you, than the leadership you are bashing.
It’s been nearly 6 months amigo, 6 months of clueless leadership and poor planning.
Start taxing Americans entering Canada
wouldnt this be Nutrition north job to ensure prices dont rocket? isnt that the point of the bloody program?
so they already get blank cheques and now upping prices… i say BS and just using this tariff as excuse for further profit.
WAKE UP Nunavut!