Canada’s food regulatory body has imposed a $10,000 penalty on a supermarket owned by Loblaw for incorrectly labeling imported food as a “Product of Canada.” The Canadian Food Inspection Agency (CFIA) informed CBC News that a Toronto-based Superstore used maple leaf advertising decals in an in-store promotion of a foreign product, leading to a misleading advertisement about the product’s origin. The fine, issued on January 15, was announced later in the week by the CFIA.
The CFIA has the authority to levy fines of up to $15,000 for each violation. The specific product that triggered the penalty was not disclosed by either the federal agency or Loblaw. The Superstore in question is situated on Gerry Fitzgerald Drive in Toronto’s north end. Loblaw acknowledged the challenge of ensuring accurate country-of-origin labeling due to managing large inventory but assured ongoing efforts to enhance their processes. The company expressed regret for any confusion caused.
The initiative to support Canadian products gained traction in response to political events and was leveraged by retailers for promotional purposes, sometimes inaccurately. Following a CBC News investigation last summer, which uncovered major grocers misrepresenting imported food as Canadian, the CFIA’s decision to fine the Superstore was made. The practice, known as “maple washing,” involves misleading consumers by falsely advertising foreign products as having Canadian content.
Federal regulations mandate that food labels and in-store signage must be truthful and not deceptive. Examples of misleading practices included a Toronto Sobeys advertising almonds with Canadian branding despite being imported as Canada does not produce almonds. Similarly, a Loblaw-owned No Frills in Toronto displayed strawberries with Canadian labeling despite being labeled as a product of the USA.
Despite shoppers expressing frustration over the lack of fines issued to grocers engaging in “maple washing,” the CFIA emphasized the seriousness of food mislabeling and the factors considered when taking enforcement action. The agency is yet to respond to inquiries regarding why fines were not imposed on Sobeys following a previous mislabeling incident involving avocado oil.
Sheila Young, a complainant in one of the mislabeling cases, called for stricter enforcement measures by the CFIA, emphasizing the need for timely penalties to deter such practices. The CFIA defines “Product of Canada” as food entirely or predominantly produced in the country, while “Made in Canada” requires the final significant transformation of the product to occur within Canada.