A grocery store owned by Loblaw in Canada was fined $10,000 by the Canadian Food Inspection Agency (CFIA) for misleadingly promoting imported food as a “Product of Canada.” The CFIA found that a Toronto Superstore used maple leaf advertising decals in an in-store display to market a foreign product, creating confusion among consumers about the product’s origin. The fine was issued on Jan. 15 but was only announced recently.
The CFIA has the authority to impose fines of up to $15,000 per offense, although neither the agency nor Loblaw disclosed the specific product that led to the penalty. 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 signage due to dealing with a large inventory and expressed its commitment to enhancing processes to prevent such misleading promotions in the future.
The move to fine the Superstore comes after a CBC News investigation last summer revealed instances of major grocers inappropriately promoting imported food with Canadian branding, a practice known as “maple washing.” Federal regulations mandate that food labels and in-store signage must be truthful and not deceptive.
Some examples of misleading promotions included a Toronto Sobeys advertising raw almonds with a red maple leaf symbol and a “Made in Canada” claim despite almonds not being grown in Canada. Additionally, a Toronto No Frills store owned by Loblaw displayed strawberries with signage indicating they were “Prepared in Canada” while the packaging clearly stated they were a “product of USA.”
Last year, following public outrage, the CFIA faced criticism for not penalizing grocers in cases of “maple washing” that it had identified. The agency emphasized its commitment to addressing food mislabeling and determining enforcement actions based on various factors such as risk, compliance history, and responsiveness to resolving issues.
Concerns were raised about the delayed response in issuing fines, like the case of a Sobeys-owned Safeway store advertising avocado oil as “Made in Canada” despite being imported. Sheila Young, who reported the mislabeling case, urged the CFIA to take decisive action and start penalizing such instances promptly. According to the CFIA, “Product of Canada” indicates food entirely or almost entirely produced in the country, while “Made in Canada” requires the final significant transformation of a food product to occur within the country.