Ongoing tariff uncertainties an opportunity for local growth

It didn’t take long after U.S. President Donald Trump announced exorbitant tariffs on February 1 for Canadian store managers like Jory Dyck, the assistant grocery manager at the Sherwood Co-op Food Store located on Quance Street in Regina, to move Saskatchewan and Canadian products to the front displays in his store.

“We try to promote local business as best as we can, by giving them a lot of display space and giving customers the choice of choosing local products over worldwide items,” explains Dyck, who noted an increase in requests for local items after the tariffs were announced.

This included changing freezer displays to prominently feature products from Regina-owned and operated companies, such as Chef Malcolm’s Pies, Nicky’s Café’s frozen dinners, Tumblers Pizza, and Mom’s Perogies. When it comes to options for supporting local and Canadian, shoppers may be surprised at the large variety most retailers now carry. 

“There’s definitely a lot of pride that [local operators] take into the quality of their work,” said Dyck. He also acknowledged possible concerns about prices of local items but stated that “some items are a little higher than anything you’d find compared, but the quality is much superior.”

Local consumers appear to be split on changing their shopping habits. Regina resident Mason Elford, said they “hope people will realize that buying local is not above their budget.”

Hunter Reichel, the store’s meat supervisor, expressed concerns about the impacts of tariffs on both countries, noting that Americans are experiencing beef supply shortages. He also noted that both the tariffs and beef shortages would cause American beef prices to significantly increase, negatively impacting Americans more than Canadians if said tariffs are implemented.

Reichel recognizes the importance of Canadian brands, noting that many meat brands are Canadian and Saskatchewan made, including Ottenbreit’s Meats from Grayson, Country Choice Meats in Duck lake, and Drake Meats.

Reichel hopes that Canadian consumers will continue to support local business, regardless of the tariffs, as it shows consumers “take pride in our Canadian products.”
 

No tariffs here
Nadine Lee is the co-owner of independent grocery store The Wandering Market, located in Moose Jaw and which has always sources its offerings from Canadian producers. The market also provides a delivery service that helps ensure those who lack the resources to get to Moose Jaw are able to access its products, with regular stops in Regina, Saskatoon, and Swift Current. Lee feels that there are certain reasons why consumers don’t buy local all the time, citing convenience as one of the main ones.

“[People] just want to go to one place and get everything,” says Lee, acknowledging price as another factor, although she feels concerns are overblown.

She hopes to help consumers recognize that buying local is a beneficial choice not just for themselves, but for the community at large, and its economic viability and stability.

“They automatically think it’s going to be more expensive because it’s local,” which Lee notes isn’t the case as often as some shoppers may think. In many cases, when prices have increased at larger grocery stores, prices at The Wandering Market have stayed relatively the same.

“Even if the prices are more, we’re finding that the price increases we’re seeing aren’t the same percentages as the grocery store,” she said, explaining that “as the prices of eggs go up in the grocery store, ours haven’t” which means her local eggs now cost the same as ones in larger supermarkets.

Lee also notes that demand and seasonality often affect the price of products and that consumers should realize it happens everywhere. 
 

An opportunity to learn
According to Lee, another important factor impacting people’s decisions regarding local shopping is education. She feels that people are often uninformed about local businesses in their areas or lack access to them. Outside influences, such as tariffs, are often an opportunity for consumers to take stock of their shopping habits and re-evaluate their routines. According to a survey conducted by Angus Reid in February, 78 per cent of Canadian citizens cited they would change their spending habits in light of the tariffs. Lee was hoping to see an increase in business after the tariffs were implemented, but so far “I haven’t found that there has been too much of an increased interest.”

This was different during the start of the COVID-19 pandemic, when Lee said “we had lineups down the block. We were really busy, but that’s because the grocery store was [closed].”

Outside influences, such as tariffs, are often an opportunity for consumers to take stock of their shopping habits and re-evaluate their routines. 

Selling food isn’t the only thing Lee does with The Wandering Market. She hopes to help consumers recognize that buying local is a beneficial choice not just for themselves, but for the community at large, and its economic viability and stability.

“If they’re wanting to have food security and invest in their community and have healthier products, then buying local is definitely the way to go,” Lee explains.

She adds that “it was actually kind of funny when the news started calling me, wanting to talk to me about the tariffs. And I was like, ‘Why? It doesn’t affect me.’ This is why we’re here. We haven’t had to take any products off [the shelves]. We don’t have any American products.”
 

Strengthening local food systems
Tim Shultz, co-owner and CEO of the Regina-based Local and Fresh Market, feels that customers’ main concerns with buying local pertain to a perceived “lack of variety.” As a result of the tariffs, Shultz has noted an increased awareness and support for Canadian products.

“It definitely seems to make people think about it more, if nothing else. It is causing people to read the packaging and choose Canadian products, when possible,” said Shultz.

The benefits of buying local products are plentiful, according to Shultz, including traceability. “It comes down to being able to fully trust the source from which our food comes,” Shultz explains. Not only does choosing locally produced items offer a boost to the local economy, but Shultz describes local producers and suppliers as being more “community minded… [they] contribute to local charities and volunteer to different community events.”

Despite seeing increased awareness and support for Canadian and local goods, Shultz has only experienced “a slim improvement in sales”. Similar to Lee, Shultz noted that many shoppers have a misconception that buying local is always going to be more expensive than choosing brand name or imported items.

“There is a stigma attached to local foods that they are more expensive than internationally sourced alternatives,” Shultz notes, adding that, “while this is true in some categories, as global pressures increase, local food has become a more reliable, economic alternative.”

Shultz highlighted the benefits of local products which included quality, transparency, and food security, which in the long-term, he argues, benefits of which outweigh the “slight cost difference.”

A balancing act
University of Regina professor of economics Jason Childs feels that there are many reasons consumers cannot shop locally all the time. There may be a perceived lack of variety or novelty, which leads to decreased interest from consumers. Another important factor to consider is what’s possible to grow at home, since, as Childs notes, “We don’t grow oranges or coffee in Canada, for obvious reasons.”

When asked about the drawbacks of the U.S.-imposed tariffs, Childs expressed more concern over the Chinese tariffs than those from the United States and was upset about the disparity in media coverage between the two.

"These tariffs could have enormous impacts as there are roughly 40,000 canola farmers in Canada and the industry itself generates upwards of $43 billion in revenue annually."

In October 2024, Canada imposed a 100 per cent tariff on Chinese electric vehicles, which prompted the Chinese government to respond with a 100 percent tariff on Canadian peas, oil cakes, and canola oil imports, as well as a 25 per cent tariff on seafood and pork.

“The canola is the big one,” Childs asserts. “China is a major purchaser of Canadian canola.” In an eight month period between late 2024 and early 2025, China purchased around 3.7 million tonnes of canola from Canada. These tariffs could have enormous impacts as there are roughly 40,000 canola farmers in Canada and the industry itself generates upwards of $43 billion in revenue annually.

Saskatchewan farmers will lose money as a result of these tariffs, mainly “those who had purchased inputs for the season ahead, as they are already committed,” explains Childs. 

Since the tariffs were imposed, Canadian canola prices have continued to decrease, plummeting 25 to 30 per cent and are now worth around $12 a bushel, as compared to the previous $16 per bushel. 

Childs thinks the Chinese tariffs will have a greater impact on grocery prices and the cost of living for consumers than the American tariffs. Childs feels the best way to mitigate the impact of these tariffs is to “stop tariffing [the Chinese].”

“The press is utterly ignoring them and it’s downright embarrassing,” Childs opines. “It’s not showing up on TV. It’s not turning up on the radio.”

Childs believes there are multiple reasons the Chinese tariffs lack coverage, one being “because they’re our fault and they’re retaliatory tariffs.”

He also thinks the proximity of the United States to Canada, and personality of its leader, contribute to the discrepancy in coverage amongst the two tariffs.

At the moment, items that fall under the Canadian-United States-Mexico Agreement (CUSMA), which account for upwards of 95 per cent of Saskatchewan’s exports to the United States, are not impacted by the tariffs, but Childs noted that “it could change.” 

“The overwhelming majority of what [Saskatchewan]  produce[s] and sell[s] in the United States is going to be CUSMA compliant. That is not being tariffed at all right now. That can change tomorrow,” Childs cautioned.

He notes that industries such as automotive, steel, lumber, and aluminum will experience the brunt of the economic hardships. Although some industries in Saskatchewan will be impacted by the American tariffs, the majority of workers, and shoppers won’t see drastic changes. 

“I would say maybe the average Canadian or Saskatchewan resident won’t be as impacted as [those] who are in certain industries,” said Childs.

Moreover, they allow us to choose to strengthen our own food systems and economy, making them less susceptible to political whims abroad.  

Childs thinks the best way to handle tariffs is to not retaliate and to “be the grown-up. Ideally, you want to try and open up other markets.”

He thinks it would be prudent for governments to extend short-term support to the industries that will experience the greatest hardships due to the tariffs. Workers in these industries are faced with the possibilities of layoffs, wage cuts, or complete job loss, depending on how long the tariffs last and their long-term impacts. 

Due to the ever changing climate of the current tariff war, the duration and effects of the tariffs in their totality will be hard to gauge for some time. What is clear is that Canadian consumers have an opportunity to once again re-evaluate their shopping habits – as they did when COVID-19 threatened local businesses – to think about where, and on what, they spend their hard-earned dollars. Local options are plenty, and in many cases include delivery service for added convenience. Moreover, they allow us to choose to strengthen our own food systems and economy, making them less susceptible to political whims abroad.