Loblaw will not be extending its price freeze on No Name brand products, but vows to keep the yellow label product-pricing flat "wherever possible."
"The more than three-month price freeze ends January 31 — but we’re not done," a Loblaw spokesperson said in an email to CTV News Monday. "Looking ahead, we’ll continue to hold those prices flat wherever possible, and switching to No Name will still save the average family thousands this year."
Loblaw announced in mid-October it would freeze prices for 1,500 products sold under its No Name private label. At the time, Loblaw chairman and president Galen G. Weston said the price of an average basket of groceries was up about 10 per cent, something he said was much out of Loblaw's control.
The Canadian retailer noted Monday, food inflation has continued to increase, costing the company more to stock shelves.
The country's inflation rate slowed again in December 2022 to 6.3 per cent. However, Statistics Canada said grocery prices were up 11 per cent for the month compared to the year before. This was down a tick from November's 11.4 per cent.
Canada's grocery chains have been under fire for making steady profits amid high inflation. Third-quarter profits at Loblaw Companies Ltd rose nearly 30 per cent compared to a year ago. Quebec grocery giant Metro Inc. reported a first-quarter profit of about 11 per cent.
--
With files from The Canadian Press
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