Gas prices up 48% in the past year
Canada's inflation rate rose at its fastest pace in almost 40 years in the year up to May, as the price of just about everything continues to go up fast.
Statistics Canada reported Wednesday that an uptick in the price of gasoline was a major factor causing the overall inflation rate to hit 7.7 per cent. Gas prices rose by 12 per cent in the month of May alone, and are up by 48 per cent compared to where they were a year ago.
Food prices were also a major factor to the upside, with grocery bills increasing by 9.7 per cent over the past year. Within the food category, the cost of edible fats and oils skyrocketed 30 per cent, the fastest increase on record.
Russia's invasion of Ukraine is a major factor in that uptick, as Ukraine is one of the world's leading suppliers of sunflower oil, and the war has caused shortages of the pantry staple.
Jamil Bhuya, who runs Toronto restaurant Burgers n' Fries Forever, is feeling those increases acutely. From meat for burgers, to flour for buns and even cardboard for packaging, he's seen the price of just about everything he needs to run his business skyrocket during the pandemic. Sharply higher costs for vegetable oils for his fryer are just the latest setback.
"We've seen things go up literally 50 per cent overnight and it's been very hard to stomach," he told CBC News in an interview. He has tried to keep prices low for his customers; he knows there is a limit to how much he can charge without losing business. "Luckily, burgers have always been kind of recession proof and even pandemic proof."