Majority of Canadians believe food prices will continue to rise. Stats show they’re right.

Inflation may not be as red-hot as it was in months past, but that’s not stopping most Canadians from dreading that next trip to the grocery store.

Rising food costs have forced Canadian households to alter their budgets, and a new poll is shedding light on how many don’t believe relief is on the way.

According to a recent Maru Public Opinion survey, 71 per cent of Canadians believe food costs at their local grocery stores will be even higher six months from now.

One woman outside of a Toronto Loblaws responded, “Yep, I do,” without hesitation when CityNews asked if she thought grocery store prices would rise within that time frame. One man said that while he didn’t think prices would rise, he wasn’t confident they’d improve.

Sylvain Charlebois, director of the Agri-Food Analytics lab at Dalhousie University, said Canadians are right.

“What that means to me is that 71 per cent of Canadians actually know what’s going on and understand the macroeconomics of the world,” said Charelbois. “It’s complicated out there. Food inflation is food inflation. Prices will go up.”

Canadian grocery giants under intense scrutiny

Charlebois says the outlook isn’t all negative, citing the latest data on food inflation from Statistics Canada. While the Consumer Price Index showed a 9.1 per cent year-over-year increase in June, up from 9 per cent in May, there was a silver lining.

“It dropped by 0.1 per cent from May to June. That means we’re likely to see things like coffee, pasta, flour and sugar, those staples, will drop in price,” Charlebois said.

“Overall, we’re expecting the grocery store to be more expensive six months from now.”

Canada’s grocery giants, the largest of them being Loblaw, have been under increased scrutiny amid breakneck inflation that’s especially hit food prices.

While overall inflation has been moderating, most recently to 2.8 per cent in June, grocery prices have continued to grow.

Canadians that CityNews spoke to in Toronto alluded to a lack of competition to keep prices down. Last month, the Competition Bureau released a study saying Canada’s grocery industry needs more competition to keep food prices down.

One woman referenced Loblaws’ record profits. On Wednesday, Loblaw reported a profit available to common shareholders of $508 million for its second quarter ended June 17 — an increase of 31.3 per cent from the same period last year.

“There’s price gauging going on,” the woman said.

Net earnings were “unusually elevated” because of a prior-year charge at President’s Choice Bank, Loblaw said in a press release, noting that adjusted net earnings were up 10.6 per cent.

“We saw same-store food sales went up 6.1 per cent year-to-year when inflation is up 9 per cent,” Charlebois added. “Giant Tiger, Costco and Wal-Mart are benefiting heavily from seeing a more frugal marketplace right now.”

Major food brands, including Coca-Cola, PepsiCo, Kraft Heinz and General Mills, have reported raising prices in recent earnings releases.

Politicians have called for the grocery industry to be more transparent about what has been driving profits, which have outperformed amid a broader rise in corporate profits.