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newsApr 15, 20261:33

Fuel Surcharges Hit Canadian Grocers

About this episode

Canadian food suppliers are implementing fuel surcharges due to escalating diesel prices, linked to Middle East tensions and increased crude oil costs. Major players like Maple Leaf Foods and Tree of Life have announced these charges, starting from April 6th and 22nd respectively. These surcharges are temporary and directly tied to fuel price fluctuations. Suppliers claim theyre only passing on trucking expenses, not other costs like ingredients. Some suppliers are also increasing minimum orders to cut small trips. Big chains like Sobeys are refusing the surcharges, while Loblaw and Metro are reviewing requests. Independent grocers worry about being hit harder due to lack of leverage, especially in rural and northern communities. These surcharges are legal and better than permanent hikes, according to experts. The Competition Bureau is monitoring for gouging, but no red flags have been raised yet. Politicians warn that these surcharges could offset any gas tax relief, further squeezing family budgets.

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Fuel Surcharges Hit Canadian Grocers

Calgary News Today | 2 Min News | The Daily News Now!

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Calgary News Today | 2 Min News | The Daily News Now!Fuel Surcharges Hit Canadian Grocers. Machine-transcribed; use the interactive transcript above to jump the player to any line.

It's April 15th, this is Calgary News today, AI-powered stories from your city. Canadian food suppliers are hitting grocers with fuel surcharges because of spiking diesel prices tied to middle east tensions and higher crude oil, costs. Three major players like Maple Leaf Foods announced this, starting charges like 11 cents per kilogram on meats and poultry from April 6th. Tree of Life plans $10 per shim and from April 22nd, and it's all temporary, linked directly to fuel swings. These moves come as diesel averages $1.78 cents per liter nationwide. Suppliers say they're not padding for other costs, like ingredients, just passing on trucking expenses. Some, like brand-meets, are also bumping minimum orders to $1,000 per delivery from May 4th to cut small trips. Big chains like sobes are flat out refusing the surcharges, calling fuel markets too volatile. Low-blow and Metro are reviewing requests, but pushing back on anything unjustified.

Independent grocers worry they lack leverage, so costs could hit them harder, especially in rural spots in northern communities. Experts confirm these surcharges are legal, often baked into contracts, and better than permanent hikes. The competition bureau watches for gouging, but sees no red flags yet. Things from conservatives and NDP point out it'll offset any gas tax relief, squeezing family budgets further. Keep an eye on your receipts folks, as these fuel ripples can make every grocery run feel heavier real soon.

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