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Canadian Politics and Government

Inflation in Canada: Cost of butter [Video]

The cost of groceries remains high across the country – including the price of an item most people have in their homes, butter.

The rising price of butter comes down to the increasing cost to produce butterfat, according to Sylvain Charlebois, Agri-Foods Analytics lab director at Dalhousie University.

“Prices have increased anywhere between 40 to 50 per cent” over the last two years, said Charlebois, who explained that farmers have reported rising costs to the Canadian Dairy Commission (CDC), a crown corporation responsible for setting prices. In response, the commission has increased the price of butter to account for higher production costs on farms, ultimately passing these costs on to consumers.

According to a recent announcement, the CDC says there will be a slight decrease in the support price for butter that will take effect February 1, 2025

But even with the minimal drop next year, right now Canadian families …

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