Ethanol fuels global run-up in food prices
Food prices are heating up globally as soaring energy costs, wonky weather and an ethanol boom all combine to push grocery bills higher.
Canadian food prices are 3.1 per cent higher than a year ago, Statistics Canada said Wednesday, well ahead of last year’s rate of 2.4 per cent. Higher prices for meat and dairy are the main culprits, but the pickup in prices spills into everything from bread and applies to ice cream, eggs, jam and juice.
The reasons vary with each product, but one factor behind higher prices may be an ethanol boom south of the border, with Canadian chicken and dairy farmers saying they’re seeing higher feed prices.