Following a six-week standoff between juggernaut snack company Frito-Lay and Canadian grocery titan Loblaw Companies, the dust has finally settled with an agreement between the two parties.
The dispute started in late February, with Frito-Lay, a subsidiary of PepsiCo, wanting to hike its prices and Loblaw halting shipments to its stores as a result.
However, the dispute was resolved around April 9 with the companies settling on a happy medium with regards to the price of Frito-Lay’s snacks.
According to CTV News, an e-mail sent to the media outlet by Loblaw vice-president of communications Catherine Thomas, reads as follows: “All along, this was about providing value to our customers,” she said. “We’re happy to have a wider assortment in our chip aisle once again, with a mix of new Canadian flavours and classic favourites, at varying prices to suit our customers’ needs.”
In Yellowknife, grocery stores such as Yellowknife’s Shoppers Drug Mart, Rochdi’s Your Independent Grocer, and Glen’s Your Independent Grocer — all affected by the halted shipments — can now expect shelves to be stocked again with bags of Frito-Lay’s products such as Lay’s, Doritios, Cheetos and Sunchips.
Overall, according to Statistics Canada, prices for food purchased from stores in February rose by 7.4 per cent year over year, the largest yearly increase since May 2009.
The inflation can be attributed to both “higher input prices and heightened transportation costs,” Statistics Canada stated.