Canadian families could see their annual grocery bills jump $1,000 next year if diesel prices remain elevated, a top food economist is warning.
Dalhousie University Agri-Food Analytics Lab senior director Sylvain Charlebois told the House of Commons human resources committee that escalating fuel costs are likely to drive food prices higher in the next six to 12 months.
testimonyon Oct. 29 that these prices quickly impact the cost of farming, processing, and transportation.
“Our lab scenario indicates that if high diesel prices persist through winter, grocery inflation could peak 0.5 to 0.7 percentage points above an easing baseline,” said Charlebois, who described the increase as “significant.”
“That represents basically about $700 to $1,000 more to spend on groceries for the average household in Canada,” he said.
The food supply in Canada is particularly vulnerable to rising diesel prices due to the country’s heavy reliance on trucking, Charlebois said.
“We have a trucking economy,” he added.
The 2026 edition of the Agri-Food Analytics Lab’s Food Price Report said a typical family of four would spend $17,572 on food and groceries annually. The total represented an increase of near...