According to a report by Statistics Canada, the rising prices of fresh fruits and vegetables elevated the annual inflation rate to 1.6 per cent last month. This is the fastest rate of growth since late 2014.
The analysis noted that in December, prices for fresh fruit increased 13.2 per cent as compared to a year earlier. Fresh vegetables also rose to 13.3 per cent. Additionally, it reported that consumers spent 3.7 per cent more on food last month than the previous year.
These figures come as the economic effects of the steep slide in commodity and oil prices are being strongly felt. This decline has also helped to drag down Canada’s exchange rate, and is expected to drive up costs for imported goods.
Statistics Canada also released its year-end review for 2015, which showed the country’s annual average increase in inflation to be 1.1 per cent.
