Farmers and food processors lobby for looser Made in Canada laws

Canada’s new labeling laws were meant to close a loophole that allowed any product to be labeled ‘Product of Canada’ as long as at least 51 percent of the production cost was met in Canada. This meant that some, or indeed all, of the ingredients could be produced elsewhere. Now at least 98 percent of ingredients have to be of Canadian origin for a manufacturer to make the claim.

However, the CFA, despite having called for stricter labeling regulation for the past 20 years, said that this is unrealistic, effectively blocking food producers from being able to use the program at all. It is calling for an 85 percent threshold.

CFA president Laurent Pellerin told FoodNavigator-USA.com: “We agree with the final objective…The main objective is to answer consumer demand for better identification of products. Eighty-five percent is a compromise after discussion with processors and farmers that gives people the option to move their recipes.”​

‘Nobody will use it’​

He added that although Canada produces a lot of its own food, the 98 percent threshold excludes almost every manufacturer of composite products if they use imported sugar, flavorings or spices.

“We already have farmers that are selling at the farm gate who can’t match this because they have a little sugar or flavor,” ​said Pellerin. “Good program, good intent, but especially at the beginning, nobody will use it.”​

Johnston’s Homestyle Products, a Prince Edward Island salad producer, is one company that has had to stop using the Product of Canada stamp, mainly because of imported sugar. Ninety-five percent of the company’s ingredients are Canadian.

If a line were drawn lower down, Pellerin can see the sense in introducing the scheme now, when consumers across North America and in Europe are increasingly interested in knowing where their food comes from.

Still room for confusion​

All the same, Pellerin stresses that he does agree with setting a bar, even if it is currently too high. Back when CFA was campaigning for stricter standards, he said, the organization collected incongruous-looking grocery items that had the Product of Canada stamp, including a bottle of olive oil.

“We don’t produce olives in Canada,”​ he said. “This is misleading.”​

He added that there is still room for confusion about what constitutes a Canadian product, due to the Canada Choice logo, which acts as a guarantee that the product in question adheres to high Canadian production standards. Pellerin said that consumers often assume that Canada Choice means that a food is produced in Canada.

“We need to get back to consumers and tell them clearly what those labels mean.”​

Despite joint letters from the CFA and Food Processors of Canada and meetings with legislators, as well as calls from industry for a transition period, Pellerin said his organization is yet to gain a response.