Butter buyers spread thin due to price hike
Sharp increases in dairy prices are slicing profits for businesses that use a lot of butter.
The owner of Ola Luna Cake and Bakeshop says last year, a pound of butter cost about $4, and now it's $6.
Her business uses up to 440 pounds of butter a month.
"Whenever I order my butter, I'm just scared to see the price increase. It gives you a nightmare," said Remi Guzel.
She's not the only one spread thin by the cost of dairy.
"It takes 10 litres of milk to make a kilo of cheese and up to 25 litres to make a kilo of butter. We're seeing a dramatic increase," said Adrian Watters, owner of Springbank Cheese Co. in Aspen Woods.
- Sign up for breaking news alerts from CTV News, right at your fingertips
- The information you need to know, sent directly to you: Download the CTV News App
A food price expert says it's because higher production costs on farms are getting passed on to consumers.
"If you find a pound at $5, that's a pretty good deal," said Sylvain Charlebois with the Dalhousie University agri-food analytics lab.
Charlebois said the higher price comes from the increased cost for dairy ingredients, which have grown by 40 to 50 per cent.
The dairy industry has a Crown corporation controlling prices, called the Canadian Dairy Commission (CDC).
Charlebois said farmers reported rising costs to the CDC, which has, in turn, increased the price on butter to account for those production cost increases.
In a recent announcement, the CDC said there will be a slight decrease in the support price for butter that will take effect Feb. 1, 2025.
Nevertheless, some shoppers are also debating their butter buying.
"Absolutely, the butter prices are up, so I tend to use a bit more margarine," said Bonnie Giannoulis.
It's impacting holiday plans for some people, too.
"I do a lot of Christmas baking. I'm a baker, and no, I won't be doing as much as I normally do," said Karen Stosky.
But those who can't cut back hope it doesn't take a big bite out of their business.
"I'm just hoping for the best for the bakery right now," said Guzel, who just opened the business one year ago.
The Canadian Dairy Commission has recommended a price increase of 0.02 per cent next year, so it likely won't increase butter prices very much.
The price of butter has also motivated thieves in some parts of the country.
In Ontario, hundreds of thousands of dollars in butter were stolen in separate cases, and investigators say it could be sold on the black market.
Calgary police say such a thing has not been reported here.
Correction
This story has been corrected to clarify comments from the food price expert, who incorrectly stated that butter prices are expected to increase next year when they will actually decrease slightly next year.
CTVNews.ca Top Stories
Trudeau says fall of Assad 'ends decades of brutal oppression' for Syria
Prime Minister Justin Trudeau says a new chapter for Syria can begin that's free of terrorism and suffering for its people.
Who is Abu Mohammed al-Golani, the leader of the insurgency that toppled Syria's Assad?
Abu Mohammed al-Golani, the militant leader of the insurgency in Syria, has spent years working to remake his public image, renouncing to ties to al-Qaida.
Trump calls for immediate ceasefire in Ukraine and says a U.S. withdrawal from NATO is possible
Donald Trump on Sunday pushed Russian leader Vladimir Putin to act to reach an immediate ceasefire with Ukraine, describing it as part of his active efforts as U.S. president-elect to end the war despite being weeks from taking office.
Quebec Premier meets with Trump, Zelenskyy and Musk during Paris trip
Quebec Premier François Legault met up with Ukrainian President Volodymyr Zelenskyy, U.S. president-elect Donald Trump and billionaire Elon Musk while visiting Paris this weekend.
Baby found dead in south Edmonton parking lot: police
Police are investigating the death of an infant in south Edmonton.
Do you recognize these men? RCMP seek Metro Vancouver grandparent scam suspects
Mounties in Metro Vancouver have released photos of two men alleged to have been involved in “numerous” so-called grandparent scams earlier this year, hoping the public can help identify them.
Pantone names its colour of the year for 2025
Pantone has named an 'evocative soft brown' its colour of the year for 2025, continuing a tradition that has now run for more than a quarter of a century.
Ousted Syrian leader Assad flees to Moscow after fall of Damascus, Russian state media say
Ousted Syrian President Bashar Assad fled to Moscow on Sunday, Russian media reported, hours after a stunning rebel advance took over the capital of Damascus and ended the Assad family's 50 years of iron rule.
A man, a bike and a gun: Police search for evidence to solve the killing of UnitedHealthcare's CEO on the streets of New York
As the investigation into the fatal shooting of a health care executive in Manhattan enters its fifth day, police are missing key pieces of evidence and are combing through what they have gathered for more clues, as the suspect remains on the run.