Despite prices that will remain high, Quebecers will see a drop in their grocery bills, in particular thanks to savings on soup, bacon and shrimp, for the first time since 2021.
Grocery price growth slowed compared to last year when it stood at 3.4%. In December, it was 4.7% according to January data from Statistics Canada.
The increases continued, but they were much less pronounced than last year. Meat (+2.8%), dairy products (+1.5%), fresh fruit (+1.9%), bakery products (+4.0%) and other food preparations (+ 4.2%) contributed to this reality.
On the other hand, Quebecers noted a drop in the price of bacon (-8.4%), soup (-2.1%) and shrimp (-3.4%). They were able to start enjoying these foods again without breaking the bank.
A breath of fresh air
The food inflation rate for January was 3.9% according to Statistics Canada. The lowest rate since October 2021 and the largest drop since 2016.
For food expert Sylvain Charlebois, it’s a breath of fresh air for Quebecers.
“This is good news,” he says. It must be remembered that the inflation rate in January 2023 was very high. In fact, what we see is a small increase on top of a big increase.
“The figures are reassuring.”
He also displays great optimism about the 1% gap between inflation rates and that of the food sector. This is the first time we have seen such a situation in almost two years.
“This means that food is becoming less and less of an inflationary problem. Prices should fluctuate much less than before.”
A trend that is confirmed
The report’s figures confirm a strong trend that began last December.
In fruits and vegetables, iceberg lettuce (-36.5%), oranges (-31.8%) and pears (-27.9%) had already experienced a marked drop in price.
It was the same for the purchase of a whole chicken (-23.2%), a dozen eggs (-8.3%) or pasta (-6.4%) which displayed already price cuts at the end of 2023.
However, in January the situation was far from rosy. The wallets of Quebecers were undermined by dizzying increases.
The prices of food purchased in grocery stores and restaurants increased by 10.4%. The main cause was the explosion in meat prices (+7.3%), its largest annual increase since 2004.
The costs of fresh or frozen chicken (+9.0%) also had their say in this situation. Bakery products (+15.5%), dairy products (+12.4%) and fresh vegetables (+14.7%) were also singled out.
Decline in nine provinces
Alberta is the only province to have posted a marked price increase, “partly due to a more pronounced increase in electricity prices in January (+119.9%) than in December (+ 22.9%).
In Quebec, the inflation rate fell slightly (-0.1%) between December 2023 and January 2024. It also increased by 3.4%, from one year to the next. It is the province with the highest inflation rate in Canada.