Canadians are buying local, but retailers lag behind surging demand

Canadians are showing a strong preference for purchasing local products, particularly as trade disputes continue to impact the economy. Despite higher prices at the grocery store, many consumers are going out of their way to buy Canadian-made goods, according to retailers facing increased demand. Companies across Canada are reporting a surge in sales of local food and household items, despite the challenges posed by recent trade disputes.

Kathleen Chapman, president of aVenco Ltd., a supplier of parchment paper based in Bowmanville, Ontario, has experienced a significant increase in orders from Canadian consumers. While the company originally had nearly 40% of its customer base in the U.S., it has seen a drastic change due to U.S. tariffs on European goods and additional 50% tariffs on its Canadian-prepared parchment paper.

This shift in demand has led to a rapid increase in direct-to-consumer orders, from about 20 annually to hundreds in just a week since the new U.S. tariffs were introduced. Chapman notes that Canadians are responding to the situation faster than retailers, with many stores lagging behind in adjusting to the increased demand for Canadian products.