(Montreal) The Conservative Party of Canada (PCC) establishes a link between a police intervention in a Montreal food bank and the “carbon tax”. If opinions differ on the effect that liberal policy could have on the price of food, the event which occurred in a food bank in Parc-Extension in mid-February was not caused by pricing carbon.
On Monday, CPC leader Pierre Poilievre republished this message from Conservative MP Dane Lloyd on X: “The Liberal inflation of the carbon tax has caused a food crisis in communities across Canada. The situation became so dire that this Montreal food bank called 911 to deal with a crowd of hungry Canadians.”
Pierre Poilievre also alluded to the police intervention in the food bank in the House of Commons on Thursday.
MP Dane Lloyd’s message contains a link to a CBC article on the police intervention at the Cuisine et vie collectives Saint-Roch organization in Parc-Extension a few weeks ago.
It was the food bank officials who requested the presence of the police, because jostling occurred during a food distribution.
Have people who work at the food bank ever suggested that carbon pricing could have a link to these events? “No, really not,” replied Nancy Dion, coordinator of the Cuisine et vie collectives Saint-Roch organization, which has been working in the sector for 30 years.
The recent increase in demand at the Saint-Roch Collective Cuisine and Life organization is mainly explained by the exponential arrival of migrants in recent months, according to her.
“We are truly on the front line. They get off the plane, they have no winter boots, no coat, they are cold, they come to see us and they are hungry,” the coordinator explained to The Canadian Press.
The conflict and scuffles that required police intervention reportedly occurred between a group of newcomers, who were unaware that they had to register to obtain food, and other beneficiaries who were members of the food bank.
“There were people in the queue who were not registered members of the organization and who did not know that they had to register and there was a bit of a rush at that level », Explained Martin Munger, general director of the Food Banks of Quebec.
PHOTO TAKEN FROM THE SAINT-ROCH CUISINE AND COLLECTIVE LIFE FACEBOOK PAGE
Demand for food baskets is increasing across the province.
“Several have no status, they are asylum seekers, we are their first recourse,” said Nancy Dion, specifying that these people are “hungry people” who arrive directly from India, Bangladesh or again from Sri Lanka.
She explained that they “have no income and no possibility of social integration”, because most “do not speak English or French and are unable to fill out a form”.
Across the province, demand for food baskets is increasing and according to Martin Munger, “who does not wish to get involved in partisan politics”, three main causes explain this increase.
On the one hand, there are the effects of the pandemic which are still being felt, there is the housing crisis and also inflation.
Martin Munger, general director of the Food Banks of Quebec
Carbon pricing and food prices
The Canadian Press requested an interview with the PCC to understand why it established a link between carbon pricing and the event that occurred in Parc-Extension.
Conservative spokesperson Marion Ringuette responded that no MP was available for comment, while adding this explanation: “Quebec imports food from the rest of Canada. The farmers who grow this food pay the carbon tax, the food processors pay the carbon tax, the truckers who transport this food to Quebec pay the carbon tax. This means that Justin Trudeau’s carbon tax increases the price of food for Quebecers, even if they do not directly pay his carbon tax. »
But according to economist Charles Séguin, “it is a bit far-fetched” to make a link with the event that occurred at the Parc-Extension food bank, for various reasons, notably because carbon pricing does not apply in Quebec .
Obviously, there are foods that can be produced outside Quebec and sold in Quebec. But the impact of carbon pricing on food prices is very small. Notably because the agricultural sector is largely excluded from pricing.
Charles Séguin, professor at the School of Management Sciences at UQAM
“The impact can, however, be felt through transportation costs,” but “we saw that gasoline prices on average in Canada decreased by 4% in January compared to January of the previous year. So, in the current dynamic, we cannot say that it really affects food prices,” mentioned the economist.
Carbon pricing applies directly to the cost of fuels, but it can also be integrated into the cost of goods, such as food, as fuel producers and retailers pass costs along the chain supply.
Carbon pricing and inflation
Bank of Canada Governor Tiff Macklem estimated that carbon pricing was responsible for only about a twentieth of inflation in 2023, when the inflation rate hovered around 3%.
Two researchers from the University of Calgary’s School of Public Policy recently looked at the effects of the carbon tax on food costs in British Columbia.
Federal carbon pricing does not apply in this province, because it has imposed its own carbon tax since 2008.
Estimates by economics professor Trevor Tombe and his associate Jennifer Winter suggest that this tax increased the average cost of food by about 0.3% compared to what it would be in the absence of a carbon tax.
“Which is still quite modest,” commented Charles Séguin.
However, the scientific director of the Agri-Food Analytical Sciences Laboratory at Dalhousie University, Sylvain Charlebois, believes “that it is extremely difficult, if not impossible, to establish a correlation between carbon price policy, or the market carbon in Quebec, and the price of retail food products.
PHOTO MARTIN CHAMBERLAND, LA PRESSE ARCHIVES
Estimates by economics professor Trevor Tombe and his associate Jennifer Winter suggest that this tax increased the average cost of food by about 0.3% compared to what it would be in the absence of a carbon tax.
There are so many factors that influence retail prices, he explained to The Canadian Press, citing the weather, consumer tastes, trends, etc.
However, he believes that the increase in pricing “could compromise the competitiveness of the agri-food industry in the long term”, because “it could increase production costs”.
He clarified that “this does not necessarily mean that costs will be influenced at retail in the short term, but in the long term, it is certain that it can affect the competitiveness of the sector”.
A tax that impacts “the rich”
Economist Charles Séguin notes that in provinces where federal carbon pricing is in effect, most families receive more in reimbursements than they pay in carbon taxes.
“The majority of income brackets receive a reimbursement that is higher than the costs caused by carbon pricing. »
Carbon pricing is based on the principle that people will change their consumption habits if the price they pay for greenhouse gas-emitting fuels increases.
Thus, the consumer who buys less fuel will pay less carbon price, while benefiting from the same rebates from Ottawa.
However, those “who emit the most GHGs” because they “have energy-intensive vehicles that run on oil” can receive less in federal rebates than what they pay in taxes, explained Professor Séguin.
“But they are not the ones using food banks,” he said.
“The stakes of the next elections”
Conservative leader Pierre Poilievre tried unsuccessfully this week to bring down the Liberal government with a motion of censure regarding the “carbon tax” and he wants to make it the issue of the next election.
PHOTO SPENCER COLBY, CANADIAN PRESS ARCHIVES
Conservative Leader Pierre Poilievre
For his part, the Minister of the Environment, Steven Guilbeault, estimates that carbon pricing will make it possible to reduce GHG emissions in the country by up to a third by 2030.
“So if there is someone somewhere who can find me a zero-cost measure and who is capable of giving us a third of our emissions reductions, let that person come and see me, because for me, that’s I’ve been working on this for 30 years and I don’t know any,” said Steven Guilbeault in a recent interview.
Carbon pricing is expected to increase next month by $15 per tonne of carbon dioxide emissions into the atmosphere, to $80.