A year after the emergence of the “Buy Canadian” movement across the nation, the Canadian Food Inspection Agency (CFIA) is taking action against grocery retailers that falsely market imported goods as Canadian products. In the current year, the federal food regulatory body has imposed fines on two Loblaw-owned grocery stores for such violations. Additionally, an investigation into Canadian labeling and promotional practices at Sobeys’ headquarters is underway, as reported by CBC News.
Responding to the public’s desire to support Canadian businesses and products, the agency emphasized its commitment to safeguarding consumers from deceptive claims. Since the inception of the Buy Canadian movement in February 2025 amid the U.S. trade dispute, many retailers have capitalized on patriotic imagery to showcase domestic items.
Previously, the CFIA identified 27 instances of misleading country-of-origin declarations by grocers, predominantly large chains. Despite customer dissatisfaction over a lack of fines, the regulatory approach has now shifted. The CFIA recently levied a $10,000 penalty on a Toronto-based Fortinos store owned by Loblaw for misrepresenting a foreign-produced food item.
Federal guidelines mandate accurate and non-misleading food labels and in-store signage. The CFIA found that the Fortinos store in question displayed a French-made Président-brand cheese spread alongside a maple leaf symbol, creating a false impression of Canadian origin.
The agency disclosed that between November 2024 and February 2026, it identified a total of 78 violations related to food label country-of-origin claims at retail establishments. With the grace period over, the CFIA declared its intent to employ appropriate enforcement measures where necessary, signaling a tougher stance on compliance.
Furthermore, recent fines imposed on Loblaw-owned Superstore in Toronto for similar misrepresentations underscore the CFIA’s heightened enforcement strategy. Investigations into labeling discrepancies at Sobeys are ongoing, with past instances revealing imported products falsely advertised as Canadian.
Critics, including former CFIA inspector Terri Lee, argue that fines, capped at $15,000, are insufficient deterrents for major retailers. Lee suggests tiered penalties based on company size, proposing higher fines for larger corporations to ensure compliance with regulations.
The CFIA emphasized that fines are just one enforcement tool, with other actions including warnings, license suspension, or prosecution referrals when warranted. The agency also highlighted the government’s plan, outlined in the 2025 federal budget, to review penalties to deter noncompliance effectively. The outcome of this review is expected to be disclosed in the 2026 budget.