Expert urges food, drink makers to look to foreign markets

Canada’s slowing population growth could impede business expansion, cautioned a top economist for Farm Credit Canada, Craig Johnston. Speaking at the Food and Beverage Summit in Victoria, Johnston relayed population figures and emphasized the need for diversification of growth potential. Canadians are increasingly spending money on groceries, which have seen faster price increases than general inflation.

Johnston noted that per-person spending on food is stagnant or rising, suggesting that businesses should seek growth outside Canadian borders. Statistics Canada recently revised its population estimate, showing a slight growth of 0.5 per cent between the second quarters of 2025 and 2026. Johnston highlighted Asia and Europe as attractive markets, noting that Canada has free trade agreements with Europe and is working on one with the Association of Southeast Asian Nations.

He estimated that Canada’s food and beverage-manufacturing industry could gain $12 billion by expanding exports outside the United States. However, the association's director of operations and finance, Allan Kotz, emphasized the need for strategic planning and warned of challenges such as language barriers and transport issues when targeting foreign markets.