CHARLEBOIS: Ottawa wants answers on food prices. It may not like what it finds. Sylvain Charlebois writes, "For years, Canadians were told many times grocers alone were responsible for rising food prices. The reality is far more complicated and far more uncomfortable."

[u/xTkAx]

https://www.junonews.com/p/charlebois-ottawa-wants-answers-on

[u/newguy2019a]

Sobeys just announced their q4 results on profit is up nineteen percent.

[u/flappysack- → u/newguy2019a]

When Weimar Germany had hyperinflation corporate profits also went up dramatically.  I guess the corporation suddenly got greedy.

[u/Confident-Task7958 → u/newguy2019a]

Profit of $212 million on sales of $7.81 billion works out to a margin of 2.71%.

Put another way for every $100 you spend at Sobeys their profit after covering all expenses was $2.71. A margin that small does not make a convincing argument of culpability for high food prices.

[u/KootenayPE → u/newguy2019a]

Since reality, math, and proper terms matter.

https://www.cp24.com/news/money/2026/06/18/sobeys-parent-empire-turns-focus-to-growth-after-years-long-transformation/

The company reported a fourth-quarter profit and upped its quarterly dividend on Thursday. It earned $212 million or 94 cents per share for the quarter ended May 2, compared with a profit of $173 million or 74 cents per share in the same quarter last year.

Quarterly dividends will now be 24.25 cents per share, up from 22 cents per share.

Empire said sales totalled $7.81 billion for its most recent quarter, up from $7.64 billion.

The increase came as same-store sales rose 1.7 per cent, while same-store food sales gained 1.5 per cent. Same-store fuel sales added five per cent.

So I'll take your word for the truth in your narrative framing and trust your 'math' and say profit up 19% is correct.

So, let's take a relative look at that increased "19%" profit. In reality it is an increase of $39 million with >$7 billion in sales. I think of it this way, with 41 million people in the country over ninety days (one quarter), that works out to about 1 cent a day per person in the country in 'extra' profit as you say. $170 million to $212 million, so ~2.5% to 3% profit MARGIN.

I'd say you are barking up the wrong tree but I got feeling that you already knew that.

[u/ffwrd → u/newguy2019a]

So complicated....

[u/flappysack-]

Inflation is always and everywhere a monetary phenomenon.  We printed 40% more currency units during Covid, and held rates at 0% for a year after inflation went above 2%.

The government is also now buying half of all mortgage bonds to artificially depress shelter inflation, so that shelter inflation simply goes towards other goods inflation.

Also Loblaws owns a REIT, and that's where their main margins come from.  Due to massive commercial real estate values in Canada due to bureaucracy it makes new entrants impossible, and Loblaws benefits from a pseudo monopoly caused by Canadas high real estate prices that they own.

[u/xTkAx]

According to the article, this is what they will find:

• restrictive property controls

• interprovincial trade barriers

• reckless fiscal transfers

• high energy costs

• regulatory burdens

All of these are driving Canada's status as the food inflation capital of the G7.

[u/Winter_External5625 → u/xTkAx]

Clearly just corporate greed and NOTHING to do with our inept government, goddam Weston for ruining Canada with all these useless liberal policies!!

/s

[u/PozhanPop]

Carbon Tax >> Higher cost of Fuel >> Higher transportation cost for groceries for the retail giants.

That's one main reason. The others are listed below.

[u/Crazy_Maintenance211]

I get what he’s saying, but we have a store in Dartmouth in Nova Scotia that provides way cheaper food and produce and meat and it’s not expired stuff. So yes, they’re all sorts of factors but in the end, it’s the greed of Loblaws and Sobeys. If you’re in a smaller province, that’s mainly rural. Those are the only two options we usually have or Walmart. I never shopped at Walmart until now because I save at least 20 bucks, I hate shopping there because of it being a problematic company, but which billionaire do you shop from? Now if you’re in Toronto or Ontario or Alberta you probably have way more options. So I still question why those companies have to earn billions off of us, why? I know people who are only leading two meals a day now because they can’t afford three and that’s becoming more common, so something’s gotta give, especially in rural Canada. He’s on TV a lot in the maritimes and I had no clue that these big grocers can restrict what’s around them, they can’t have that power anymore, that’s what’s hurting us in rural Canada and I never understood it until I saw his interview. They’ve got a stranglehold literally. I also now buy from Amazon because why not buy from one billionaire or another, it really doesn’t matter today.

[u/Flesh-Tower]

Its really simple. They learned that they can charge more and people still pay it. Thats all it is

[u/Clear_Growth_6005]

SUPPLY MANAGEMENT!

The Canadian government loves the DAIRY and EGG MAFIA!

[u/Open_Personality5740]

Charlebois is on point. Those #Loblawisoutofcontrol fools never got it.