Canadian food banks are on the brink: ‘This is not a sustainable situation’ - Global News | Canada News Media
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Canadian food banks are on the brink: ‘This is not a sustainable situation’ – Global News

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Food banks in Canada are being pushed to the brink with high demand and donations not keeping pace. Experts say it’s unsustainable.

The last four years have been financially tumultuous for Canadians. A global pandemic and rampant inflation have led to high grocery prices, with more and more people finding themselves unable to afford the basics.

But what happens when donations to help are not keeping up with demand?

“The word that I hear often with food banks across Canada is ‘unsustainable,’” says Kirstin Beardsley, Food Banks Canada CEO.

“When you see the rates of growth that we’ve seen and the strain, the amount of donations that we need to see coming through the door either stagnate or not keep up the pace, this is not a sustainable situation.”

How the cost of living is impacting donations and demand

Beardsley says that although food banks have always worked hard to meet the need, it’s becoming more challenging to get by.

“While folks and Canadians across the country continue to be generous, we are starting to hear that it’s not enough to meet the growing levels of demand that our food banks are facing,” Beardsley says.

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“People’s budgets are stretched. They don’t have the space in their own budgets to make that extra donation because they’re really struggling to make ends meet.”

A 2023 report from Canada Helps found that 57.3 per cent of charities cannot meet current levels of demand and that 31.5 per cent of charities raised less money than the year before.

The report also showed that the number of Canadians relying on charities for basic needs was up eight percentage points in nine months to a total of 22 per cent of all Canadians.

Unlike other social services, food banks are primarily community-funded, with the majority of support coming from donors and collections by community groups and local businesses.

To give people a sense of just how bad it’s gotten, Beardsley compared the impacts of the 2008 recession with the pandemic. During and after the recession, she said food banks on average saw a 30 per cent increase in demand for services. Since the COVID-19 pandemic and rising inflation, Beardsley says 2023 data shows a roughly 80 per cent increase in demand for services. It’s likely to be higher once the 2024 numbers are collected, she added.

“We haven’t seen this rate of growth since food banks have been collecting data,” she says.


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“Food banks tend to deal with economic challenges for a much longer stretch than you see represented in federal data or statistics. So the economy gets better, which is great, but food banks are still dealing with that long tail of need as people get back on their feet and are able to support themselves.”

The recent spring food drive in Barrie, Ont., is one example of the strain on local food banks.

The Barrie Food Bank’s executive director says that although they managed to meet their food collection goal, they were $100,000 short on their financial goal.

“The food donations are obviously very helpful, but the financial donations are also really important because that’s what we use to buy perishable items like meat, milk, margarine, eggs. Those are highly valued items for the clients,” Sharon Palmer says.


Barrie Food Bank launched its spring food drive Friday. The drive continues until March 31.


Handout/Barrie Food Bank

While Palmer feels an early Easter did not help collection efforts, she believes donation fatigue is a factor.

“Donations have reduced to where people are not donating, so that’s affecting the whole industry,” she says. “So we’ve gone through the pandemic, we’ve gone through this period of high inflation that’s affecting this whole social sector and a lot of charities, so there’s been a lot of asks out there in the marketplace, and so people only can do so much.”

Palmer says that over the last few months, demand for their services has reached a peak and is staying around 7,000 people each month. She says that while it’s good to see the numbers stop rising, that is also “an awful lot of people who are needing food support on a monthly basis.”

“It’s a pretty high level of food and financial donations we need to be able to meet that need. To be realistic, we have had to cut back a little on some of the quantities of items just to stay in our budget.”

With the cost of living leading to more people needing their services, Palmer says single people are making up one of the biggest groups they see because they have to pay all their expenses on their own.

“There are still new people coming in for the first time and having to use the food bank. It’s always difficult for people to make that decision, but we’re glad that they do because we know that if we can give them a little help and get them through a tough period, a lot of times, they just get back on their feet,” Palmer says.

“We have this old board member who used to say there’s just too much month at the end of the money when your money runs out.”

Beardsley says with kids’ lunches to build, gas to buy to get to work and rent to pay, it’s hard to afford it all these days.

“It’s impossible to make it all work when the income’s not enough and the expenses are too high.”

To combat the drop in donations, Beardsley and Palmer say food banks are relying more and more on food recovery programs, where they divert food from grocery stores, food suppliers and farmers that will not sell before spoiling.

Palmer says this allows them to quickly deliver perishable products with a short shelf life to those in need.

Despite efforts to keep up with the high demand, experts say more work needs to be done.



2:07
Growing number of British Columbians dealing with food insecurity


Addressing the root cause

When asked if the federal and provincial governments should support food banks more, Palmer said it would help more if they looked at how to prevent people from needing to go in the first place.

“I’d rather have policies that help encourage employment, and that would create more availability of housing,” she says.

Palmer says one area that could help curb demand is providing more financial support for people on government assistance programs.

She says people who rely on government assistance for an injury or disability are receiving far less money than they need to cover their everyday living expenses, with the majority or all going towards rent.

She notes that another key demographic they continue to see more of is people without homes.

“Until we have more housing resources available, I don’t think that segment is going to reduce at all,” Palmer says.

The CEO of Food Banks Canada agrees, encouraging those who aren’t in a position to donate to advocate for change instead.

“Talk to elected officials about the need to invest in making sure that low-income folks have higher incomes, that we are addressing the affordability crisis in Canada, and that governments take action,” Beardsley says.

“Our vision really is — and we believe in it — a Canada where no one goes hungry.”

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Looking for the next mystery bestseller? This crime bookstore can solve the case

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WINNIPEG – Some 250 coloured tacks pepper a large-scale world map among bookshelves at Whodunit Mystery Bookstore.

Estonia, Finland, Japan and even Fenwick, Ont., have pins representing places outside Winnipeg where someone has ordered a page-turner from the independent bookstore that specializes in mystery and crime fiction novels.

For 30 years, the store has been offering fans of Agatha Christie’s Hercule Poirot or Arthur Conan Doyle’s Sherlock Holmes a place to get lost in whodunits both old and new.

Jack and Wendy Bumsted bought the shop in the Crescentwood neighbourhood in 2007 from another pair of mystery lovers.

The married couple had been longtime customers of the store. Wendy Bumsted grew up reading Perry Mason novels while her husband was a historian with vast knowledge of the crime fiction genre.

At the time, Jack Bumsted was retiring from teaching at the University of Manitoba when he was looking for his next venture.

“The bookstore came up and we bought it, I think, within a week,” Wendy Bumsted said in an interview.

“It never didn’t seem like a good idea.”

In the years since the Bumsteds took ownership, the family has witnessed the decline in mail-order books, the introduction of online retailers, a relocation to a new space next to the original, a pandemic and the death of beloved co-owner Jack Bumsted in 2020.

But with all the changes that come with owning a small business, customers continue to trust their next mystery fix will come from one of the shelves at Whodunit.

Many still request to be called about books from specific authors, or want to be notified if a new book follows their favourite format. Some arrive at the shop like clockwork each week hoping to get suggestions from Wendy Bumsted or her son on the next big hit.

“She has really excellent instincts on what we should be getting and what we should be promoting,” Micheal Bumsted said of his mother.

Wendy Bumsted suggested the store stock “Thursday Murder Club,” the debut novel from British television host Richard Osman, before it became a bestseller. They ordered more copies than other bookstores in Canada knowing it had the potential to be a hit, said Michael Bumsted.

The store houses more than 18,000 new and used novels. That’s not including the boxes of books that sit in Wendy Bumsted’s tiny office, or the packages that take up space on some of the only available seating there, waiting to be added to the inventory.

Just as the genre has evolved, so has the Bumsteds’ willingness to welcome other subjects on their shelves — despite some pushback from loyal customers and initially the Bumsted patriarch.

For years, Jack Bumsted refused to sell anything outside the crime fiction genre, including his own published books. Instead, he would send potential buyers to another store, but would offer to sign the books if they came back with them.

Wendy Bumsted said that eventually changed in his later years.

Now, about 15 per cent of the store’s stock is of other genres, such as romance or children’s books.

The COVID-19 pandemic forced them to look at expanding their selection, as some customers turned to buying books through the store’s website, which is set up to allow purchasers to get anything from the publishers the Bumsteds have contracts with.

In 2019, the store sold fewer than 100 books online. That number jumped to more than 3,000 in 2020, as retailers had to deal with pandemic lockdowns.

After years of running a successful mail-order business, the store was able to quickly adapt when it had to temporarily shut its doors, said Michael Bumsted.

“We were not a store…that had to figure out how to get books to people when they weren’t here.”

He added being a community bookstore with a niche has helped the family stay in business when other retailers have struggled. Part of that has included building lasting relationships.

“Some people have put it in their wills that their books will come to us,” said Wendy Bumsted.

Some of those collections have included tips on traveling through Asia in the early 2000s or the history of Australian cricket.

Micheal Bumsted said they’ve had to learn to be patient with selling some of these more obscure titles, but eventually the time comes for them to find a new home.

“One of the great things about physical books is that they can be there for you when you are ready for them.”

This report by The Canadian Press was first published on Sept. 15, 2024.



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Labour Minister praises Air Canada, pilots union for avoiding disruptive strike

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MONTREAL – Canada’s labour minister is praising both Air Canada and the union representing about 5,200 of its pilots for averting a work stoppage that would have disrupted travel for hundreds of thousands of passengers.

Steven MacKinnon’s comments came in a statement shared to social media shortly after Canada’s largest air carrier announced it had reached a tentative labour deal with the Air Line Pilots Association.

MacKinnon thanked both sides and federal mediators, saying the airline and its pilots approached negotiations with “seriousness and a resolve to get a deal.”

The tentative agreement averts a strike or lockout that could have begun as early as Wednesday for Air Canada and Air Canada Rouge, with flight cancellations expected before then.

The airline now says flights will continue as normal while union members vote on the tentative four-year contract.

Air Canada had called on the federal government to intervene in the dispute, but Prime Minister Justin Trudeau said Friday that would only happen if it became clear no negotiated agreement was possible.

This report from The Canadian Press was first published Sept. 15, 2024.

Companies in this story: (TSX:AC)

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As plant-based milk becomes more popular, brands look for new ways to compete

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When it comes to plant-based alternatives, Canadians have never had so many options — and nowhere is that choice more abundantly clear than in the milk section of the dairy aisle.

To meet growing demand, companies are investing in new products and technology to keep up with consumer tastes and differentiate themselves from all the other players on the shelf.

“The product mix has just expanded so fast,” said Liza Amlani, co-founder of the Retail Strategy Group.

She said younger generations in particular are driving growth in the plant-based market as they are consuming less dairy and meat.

Commercial sales of dairy milk have been weakening for years, according to research firm Mintel, likely in part because of the rise of plant-based alternatives — even though many Canadians still drink dairy.

The No. 1 reason people opt for plant-based milk is because they see it as healthier than dairy, said Joel Gregoire, Mintel’s associate director for food and drink.

“Plant-based milk, the one thing about it — it’s not new. It’s been around for quite some time. It’s pretty established,” said Gregoire.

Because of that, it serves as an “entry point” for many consumers interested in plant-based alternatives to animal products, he said.

Plant-based milk consumption is expected to continue growing in the coming years, according to Mintel research, with more options available than ever and more consumers opting for a diet that includes both dairy and non-dairy milk.

A 2023 report by Ernst & Young for Protein Industries Canada projected that the plant-based dairy market will reach US$51.3 billion in 2035, at a compound annual growth rate of 9.5 per cent.

Because of this growth opportunity, even well-established dairy or plant-based companies are stepping up their game.

It’s been more than three decades since Saint-Hyacinthe, Que.-based Natura first launched a line of soy beverages. Over the years, the company has rolled out new products to meet rising demand, and earlier this year launched a line of oat beverages that it says are the only ones with a stamp of approval from Celiac Canada.

Competition is tough, said owner and founder Nick Feldman — especially from large American brands, which have the money to ensure their products hit shelves across the country.

Natura has kept growing, though, with a focus on using organic ingredients and localized production from raw materials.

“We’re maybe not appealing to the mass market, but we’re appealing to the natural consumer, to the organic consumer,” Feldman said.

Amlani said brands are increasingly advertising the simplicity of their ingredient lists. She’s also noticing more companies offering different kinds of products, such as coffee creamers.

Companies are also looking to stand out through eye-catching packaging and marketing, added Amlani, and by competing on price.

Besides all the companies competing for shelf space, there are many different kinds of plant-based milk consumers can choose from, such as almond, soy, oat, rice, hazelnut, macadamia, pea, coconut and hemp.

However, one alternative in particular has enjoyed a recent, rapid ascendance in popularity.

“I would say oat is the big up-and-coming product,” said Feldman.

Mintel’s report found the share of Canadians who say they buy oat milk has quadrupled between 2019 and 2023 (though almond is still the most popular).

“There seems to be a very nice marriage of coffee and oat milk,” said Feldman. “The flavour combination is excellent, better than any other non-dairy alternative.”

The beverage’s surge in popularity in cafés is a big part of why it’s ascending so quickly, said Gregoire — its texture and ability to froth makes it a good alternative for lattes and cappuccinos.

It’s also a good example of companies making a strong “use case” for yet another new entrant in a competitive market, he said.

Amid the long-standing brands and new entrants, there’s another — perhaps unexpected — group of players that has been increasingly investing in plant-based milk alternatives: dairy companies.

For example, Danone has owned the Silk and So Delicious brands since an acquisition in 2014, and long-standing U.S. dairy company HP Hood LLC launched Planet Oat in 2018.

Lactalis Canada also recently converted its facility in Sudbury, Ont., to manufacture its new plant-based Enjoy! brand, with beverages made from oats, almonds and hazelnuts.

“As an organization, we obviously follow consumer trends, and have seen the amount of interest in plant-based products, particularly fluid beverages,” said Mark Taylor, president and CEO of Lactalis Canada, whose parent company Lactalis is the largest dairy products company in the world.

The facility was a milk processing plant for six decades, until Lactalis Canada began renovating it in 2022. It now manufactures not only the new brand, but also the company’s existing Sensational Soy brand, and is the company’s first dedicated plant-based facility.

“We’re predominantly a dairy company, and we’ll always predominantly be a dairy company, but we see these products as complementary,” said Taylor.

It makes sense that major dairy companies want to get in on plant-based milk, said Gregoire. The dairy business is large — a “cash cow,” if you will — but not really growing, while plant-based products are seeing a boom.

“If I’m looking for avenues of growth, I don’t want to be left behind,” he said.

Gregoire said there’s a potential for consumers to get confused with so many options, which is why it’s so important for brands to find a way to differentiate themselves, whether it’s with taste, health, or how well the drink froths for a latte.

Competition in a more crowded market is challenging, but Taylor believes it results in better products for consumers.

“It keeps you sharp, and it forces you to be really good at what you’re doing. It drives innovation,” he said.

This report by The Canadian Press was first published Sept. 15, 2024.



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