The “Buy Canadian” movement that surged during pandemic-era supply chain disruptions is showing signs of fading, according to Metro Inc. CEO Eric La Flèche. Speaking after the company’s quarterly earnings call Thursday, La Flèche observed that economic pressures are increasingly steering consumers toward lower-priced alternatives, regardless of origin.
“The patriotic purchasing trends we saw during COVID have softened considerably,” La Flèche told analysts. “When inflation is squeezing household budgets, price becomes the primary consideration for many shoppers, pushing country of origin further down the priority list.”
Metro, which operates more than 950 food stores across Quebec and Ontario under banners including Metro, Food Basics, and Super C, has tracked this consumer behavior shift through its sales data. The company reported food same-store sales rising 2.5% in its third quarter, while profits increased 13.4% to $283.5 million compared to the same period last year.
The waning “Buy Canadian” sentiment marks a notable shift from 2020-2021, when pandemic-related border restrictions and supply chain challenges prompted both consumers and retailers to prioritize domestic products. During that period, major grocers prominently featured Canadian-made items and expanded local sourcing initiatives.
Retail analyst Kevin Grier told CO24 that economic realities are trumping patriotic purchasing. “Consumers initially responded to the ‘support local’ messaging, but persistent inflation has forced many households to make purely economic decisions. When faced with a Canadian product at a premium versus an imported alternative, budget constraints often win out.”
The declining trend extends beyond Metro stores. A recent industry survey revealed that while 67% of Canadian consumers expressed preference for domestic products in principle, only 34% reported consistently choosing Canadian items when they cost more than imports—down from 52% in 2021.
Despite this trend, certain Canadian product categories maintain consumer loyalty. “Fresh produce, dairy, and meat still see strong domestic preference, where quality perceptions and safety concerns outweigh modest price differences,” La Flèche noted. “It’s the packaged goods, household items, and non-perishables where we’re seeing the most significant shift toward price-based decisions.”
For Canadian manufacturers and food processors, this trend creates new challenges. Many had invested in expanded production capacity and “Made in Canada” marketing during the pandemic’s peak domestic buying phase. Industry groups are now advocating for government measures to help domestic producers remain competitive.
Metro and other major Canadian grocers continue to face scrutiny over food pricing and supplier relationships. While La Flèche acknowledged consumer price sensitivity, he maintained that Metro remains committed to offering competitive pricing while supporting Canadian suppliers where viable.
As economic conditions evolve, retailers are adjusting merchandising strategies accordingly. “We’re responding by ensuring value across all product origins rather than emphasizing Canadian sourcing exclusively,” La Flèche said. “Consumers still want quality and transparency, but affordability has moved to the forefront of decision-making.”
For Canadian consumers navigating grocery aisles in 2023, patriotism increasingly takes a back seat to pragmatism—a shift that may continue to reshape the retail landscape as economic pressures persist.
