TORONTO Change City

TORONTO'S NEWS

Friday, November 20, 2009

Why Your Grocery Bill May Soon Skyrocket

2008/04/16 | CityNews.ca Staff

Comment  |   |  Bookmark and Share

Feeling the pain at the pumps? You'll soon be feeling the pinch in your grocery bill, too.

Recent oil price hikes have also sparked a spike in the cost of diesel. In fact, on Wednesday, diesel cost more than gas in Toronto - nearly 10 cents a litre more.

And that puts extra pressure on the fruit producers down south. We've become accustomed to exotic goodies from California anytime of year - even in the dead of winter.

But the trip that takes thousands of kilometres also takes a toll on your pocketbook. The cost of fuelling up the big rigs that transport pineapples and oranges will be passed on to you.

"The trucks get scarcer so you're going to have a twofold effect. One will be the gas prices and one will be the availability of the trucks," explains one expert.

Some critics say Ottawa should cut the tax on diesel.

"We pay 13 per cent more in this province than for any other item we buy. Why are we paying 35 per cent tax on our fuel?" asks Ron Hollis of boycottgas.ca

The Premier didn't answer the question directly. At Queen's Park on Wednesday, Dalton McGuinty said there are other ways around the rising prices.

"We're making a massive investment in public transit so that more and more people have a real and viable alternative," Premier McGuinty promised. 

But until and unless there's a rail link between California and Toronto, expect to pay more at the check out. And soon.