Walmart Canada Raising Grocery Prices, BMO Says

Walmart Canada is raising its grocery prices in some parts of the country, according to market research firm BMO Capital Markets. A welcome development for Walmart's competitors, such as Sobeys and Loblaw, the price hikes highlight a trend described by BMO analysts as “suggesting Walmart Supercentre is finally passing through higher wholesale grocery costs in the form of retail grocery inflation”. Although food retail prices rose 1.2 percent in 2013, grocers remain burdened with “razor-thin” margins, with competition growing in the market due to expansion at Walmart, Target, and Costco.