Rising Costs Are Reshaping the Outlook
Canada absorbed the U.S. tariff shock better than many expected. However, that resilience is now being tested again. Unpredictable CUSMA negotiations and a volatile war in the Middle East signal that food services won’t catch a break for another couple of years.
What factors continue to represent major hindrances to growth in this industry? With food services a largely non-traded sector, will the CUSMA negotiations play a role, and what form would this take? How will increased domestic spending by Canadians, energy inflation, and labour market pressures converge to shape pricing and profit margins over the outlook?
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