As the prices for vegetables and fruits increases in Canada, farmers are cultivating more, cashing the drop in Canadian dollar. Soaring cost of imported vegetables and fruits combined with the country’s weak currency creates a demand for home grown less expensive vegetables and fruits. Fresh vegetable and fruit prices jumped 18 and 13 per cent respectively in January year over year, according to Statistics Canada.
Soft wheat and canola prices may diminish Canadian farm incomes by 9 per cent this year. Industry experts finds this as the best time to grow beetroot and carrots. According to a local farmer growing beet is 10 times more profitable per acre than canola.
The dropping Canadian dollar, which has plunged below the 74 cent mark, fell 16 percent the previous year. Excessive rain in some U.S. regions has added costs.Marquette is part of a grower group that sells vegetables to Saskatchewan-based Federated Co-operatives Limited.
About all foods fruits and vegetables devoured in Canada are imported, making them more vulnerable to the loonie’s ebb and flows. “It truly comes down to the dollar,” said Kevin Grier, an agribusiness and food industry analyst. A year ago, fruits and vegetables bounced in cost somewhere around 9.1 and 10.1 percent, as per a yearly report by the Food Institute at the University of Guelph. The study predicts these food stuffs will keep on increasing above inflation this year, by up to 4.5 percent for a few things.
While the expanded expenses have managed a hit to everybody’s wallet, they have a more purported impact on Canadians living on a tight spending plan or in remote districts, where fruits and vegetables are more costly than in more urban areas. Diana Bronson, the executive director of Food Secure Canada said the people living in northern and remote groups are well on the way to be harmed by these increasing costs.
Nunavut Bureau of Statistics reports that Nunavut residents typically pay around two times more than the Canadian average for staples. There, a kilogram of carrots costs $6.17 in March 2015, while the Canadian average was about $4 less. Lower-and white collar class people who can’t find an occupation that will pay them enough to buy healthy diet for their families are more likely to feel the pinch, said Bronson.