Supply Management

Canadian Chicken is Affordable for Everyone

Let’s take a look at our newest infographic: Canadian Chicken is Affordable.

This infographic dispels the myth being spread by some opponents to supply management, who call it a regressive tax on lower income Canadians. That is simply not true. As we mentioned here last week, Canadian chicken continues to be the most affordable meat protein in Canada. When comparing its price with beef and pork, chicken prices have remained significantly stable throughout the years.

In fact, when comparing our prices on the world stage, chicken is much more affordable in Canada than it is in most other countries. For example, Canadian chicken is less expensive than it costs in major European countries, such as Belgium or France. Moreover, it’s even cheaper than chicken sold in New Zealand, a nation that has actively been working to reduce government protections for its farmers, abolishing their own form of supply management.

Not only that, but when we look at the bigger picture, Canada is still one of the countries with the overall lowest food prices. Canadians only spend 10% of their income on food, a percentage that is much lower than in Australia or Germany. As a result, Canadians celebrate Food Freedom Day far earlier than others. This year, Food Freedom Day was on February 9th, meaning the average Canadian only spent about a month’s worth of salary on their groceries for the entire year.

However, it’s important to remember that the prices consumers pay in stores are, in fact, set by the retailer. This means prices may vary from week to week, from store to store, and from product to product – it’s all about when and where you shop.

In reality, supply management plays a very little role in the price you pay. As we mentioned last week, supply management only permits farmers to negotiate the “live price”, most of which goes toward covering the cost of feed and chicks. This means farmers only receive $1.58 per kg as the flock leaves the barn. Furthermore, that price has been continuously declining, dropping 2.4% since 2011. With consumers paying more and chicken farmers getting less, it’s clear that there’s no connection.

Bottom line: Canadian chicken is affordable. For everyone.