Higher food prices could have long-term negative effects on Canadians

tomtidgewellNovember 27, 2022

Opinion: Historically, Canadians spent less than 10% of their income on food, now 16%.

Historically, Canadians spent less than 10% of their income on food, now 16%. Photo by Carlos Osorio /Reuters

The recent surge in food prices is troubling many Canadian families, especially those on a tight budget. Statistics Canada reported in October that in-store food prices had outpaced the consumer price index for all items for his 11th straight month.

Nearly 60% of Canadians struggle to feed their families, according to a recent survey by the nonprofit Angus Reed Institute. When we can afford food, many people cannot afford enough food or can’t afford the food they want.

They end up skipping meals, eating stale, poor quality food, or visiting alternative grocery stores to find cheaper options, leading to malnutrition. A survey of Canadians found that 23.6% of the population is buying less food and 7.1% are skipping meals due to inflation.

Generally speaking, moderate inflation is not a bad thing. The Bank of Canada targets his 2% inflation rate. This is the midpoint between the 1% and 3% range. The Bank of Canada affects inflation by manipulating interest rates.

But the current high inflation is different — the Bank of Canada itself admits this. In a recent speech, Central Bank Governor Tiff Macklem said, “High inflation is making life more difficult for Canadians, especially those with low or fixed incomes.”

Food, housing and transportation account for more than 60% of household expenditure. If only food prices were affected by high inflation, households would be able to divert income from shelter and transportation to cover it. But with high inflation sweeping through all three of her territories at the moment, Canadians are struggling to keep food on the table, a roof over their heads and access to transportation. increase.

The amount middle-income families spend on transportation and food leaves them vulnerable. But the recent rise in interest rates hasn’t helped low-income earners either. Canadians spend the highest percentage of their income (almost a third) on maintaining a roof over their heads. Housing costs are rising due to the recent rise in lending rates.

Canadian food price reports show that Canadians historically spend less than 10% of their income on food. But things have changed. Canadians currently spend 16% of their income on food. The report also says the food inflation index has outpaced general inflation for the past two decades. Typical grocery prices have increased by 70% between 2000 and 2020.

Canadian health hazards

The main side effect of rising food prices is the impact on health and nutrition. Rising food prices make it difficult for low-income people to afford nutritious food. Ultimately, this could have long-term consequences for human health, putting even more pressure on Canada’s already strained healthcare system.

A University of Toronto study found that an insecure food supply is associated with a wide range of illnesses and diseases, including infections, poor oral health, injuries, depression and anxiety, heart disease, high blood pressure, arthritis, chronic pain and other chronic conditions. Increases vulnerability to health conditions. .

Similarly, a study by researchers at the Harvard Center for Population and Development Studies found that nutrition, especially postnatal conditions, is the most important factor affecting human growth. This indicates that short adult stature in low- and middle-income countries is related to environmental conditions such as nutrition.

High food prices require special attention as they can have long-lasting effects on the physical and mental health of future generations. Our children are our future. There is no room for compromise in children’s diet and nutrition. Today’s malnourished children will be tomorrow’s malnourished nation.

Coordinated Effort Required

It is essential to make policy makers and governments aware of this devastating situation and take the necessary steps to combat rising food prices. Governments and policymakers should ensure that Canadians have access to affordable nutritional foods.

As a short-term solution, Canadians should consider buying seasonal and frozen foods, growing the food itself, and replacing meat with legumes. To address , policymakers need to index social welfare amounts with inflation as soon as possible to prevent unpredictable food price increases for social welfare beneficiaries.

Finally, businesses should not capitalize on people’s despair by raising food prices. His three largest grocery chains in Canada have recently turned in huge profits. They can use these profits to offset some of the costs of food price inflation.There is no silver bullet to effectively deal with high food prices, but governments, businesses, households, etc. , requires a concerted effort from all sides.

Shahidul Islam is an Associate Professor in the Department of Anthropology, Economics and Politics at MacEwan University.

This article first appeared on theconversation.com, an independent source of news and views from the academic and research community.