The Bank of Canada says it is raising rates as it attempts a soft landing for the economy, but the path to that soft landing is “narrowing.”
Despite double-digit increases in food prices already this year, costs will continue to rise.
Consumers are already paying up to 13 per cent more for groceries this year than last year and according to experts, things like milk, and items that need to be trucked or shipped in will continue to go up in price.
Stuart Smyth from the University of Saskatchewan says high gas prices are one reason for higher prices at the grocery store but he feels grocery retailers could also be testing shopper limits.
“Retailers are going to say consumers are willing to pay this price for products, so they’ll price it at that price, or couple pennies below it,” Smyth said.
Experts say if possible, try shopping around at discount grocers.