Finance

Victoria Grocery Store Cuts Ties with U.S. Produce Amid Trade Tensions

2025-03-14

Author: Emma

Victoria Grocery Store Cuts Ties with U.S. Produce Amid Trade Tensions

In a bold move reflecting the shifting dynamics of the Canada-U.S. trade relationship, Urban Grocer in Victoria has eliminated nearly all U.S. fruits and vegetables from its shelves. This decision comes in response to a notable decline in the sales of American agricultural products.

Impact of Country of Origin Tagging

The turning point for Urban Grocer began innocently enough. The store started tagging its produce to indicate the country of origin. Management quickly discovered that consumers were increasingly shunning American products; sales plummeted significantly as a direct reaction to heightened tariffs under former President Donald Trump's administration.

Sales Decline of American Produce

“For example, our best-selling Popeye Spinach used to fly off the shelves at 60 to 80 bags a day, but during our last week of offering it, we sold just two bags. That’s a clear message from our customers,” said Gary Innis, the store's general manager, highlighting the stark shift in consumer behavior.

Local and International Sourcing

Innis and his team took immediate action to phase out U.S. produce, focusing instead on sourcing locally and from international partners including Morocco, Argentina, Mexico, Japan, and various European countries. By March 17, customers will find a completely revamped produce section reflecting this commitment.

Absorbing Costs

Despite the additional costs associated with sourcing from farther afield, Urban Grocer has absorbed these expenses without passing them onto the customer. Interestingly, this approach appears to be paying off. Sales are increasing as the store attracts new shoppers who prefer to support local and international non-U.S. products.

Positive Customer Feedback

“The feedback has been overwhelmingly positive,” Innis remarked. “It hasn’t hurt our business at all; we’re actually seeing growth from customers eager to shop with us.”

Survey Insights on Canadian Patriotism

Recent surveys shed light on the surge in Canadian patriotism affecting purchasing choices. A 2025 Hill and Knowlton poll revealed that 79% of Canadians feel it's more vital to support local businesses than it was the previous year, with 55% citing patriotism as a key motivator in their buying decisions. Meanwhile, an Angus Reid survey found that 78% of Canadians are committed to buying more Canadian products, with 59% likely to boycott American goods altogether due to ongoing trade tensions.

Future Directions