A year following the rise of the “Buy Canadian” movement across the nation, the Canadian Food Inspection Agency (CFIA) is taking action against grocery stores that falsely advertise imported goods as Canadian. The federal food regulator has already issued fines to two Loblaw-owned stores for such violations this year. CBC News has learned that the CFIA is also looking into Canadian labelling practices at Sobeys’ headquarters.
The CFIA emphasized that Canadians have shown a strong preference for supporting local businesses and products. In response to misleading claims, the agency stated its commitment to safeguarding consumers. Since the launch of the Buy Canadian movement in February 2025, spurred by trade tensions with the U.S., many retailers have capitalized on patriotic messaging to promote domestic items.
Previously, the CFIA had identified 27 violations in 2025 related to inaccurate country-of-origin claims by grocers, but no fines were issued. However, a recent shift in enforcement saw a $10,000 fine imposed on a Loblaw-owned Fortinos in Toronto for misrepresenting foreign-made cheese as Canadian. The agency reiterated that food labelling must be precise and truthful.
The CFIA reported a total of 78 violations related to country-of-origin claims in retail stores between November 2024 and February 2026. The agency indicated that the leniency period is over, and it will now apply appropriate enforcement measures. More fines are expected as the CFIA continues its investigation into mislabelling practices at Sobeys.
Former CFIA inspector Terri Lee criticized the $10,000 fine imposed on Loblaw, stating that penalties should be proportionate to the size of the company. Lee suggested larger corporations face higher fines. The CFIA highlighted that fines are just one enforcement tool, with other actions including warnings, license suspension, and potential prosecution.
The government’s 2025 federal budget includes a plan to review the adequacy of penalties for noncompliance, with the results set to be disclosed in the 2026 budget. Both Loblaw and Sobeys have acknowledged the challenges of accurate country-of-origin labelling and expressed commitment to improving their practices.