Rising food prices affect P.E.I. consumers


P.E.I. consumers are less than thrilled that oil and food — especially staples such as bread, pasta, rice and coffee — are about to become more expensive.

Grocery giant Loblaws has announced it will raise prices on many items by an average of five per cent starting next month.

The price of key commodities has soared — especially grain, rice and oil — due to political unrest in the Middle East. Global oil prices have spiked on concerns about the potential impact of supply disruptions from Libya.

Skyrocketing food prices have been among the triggers for protests in Egypt, Tunisia and elsewhere and raised fears of a repeat of the food price crises in 2007 and 2008.

Loblaws’ price increase also comes on the heels of news last month that the company’s profits slipped 8.5 per cent in the fourth quarter as competitive pressures kept it from raising prices.

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