Manitoba continues to see inflation rate drop, experts say there's still a ways to go
The latest inflation numbers are out from Statistics Canada and the Consumer Price Index shows inflation continues to slow throughout Canada, including in Manitoba.
February 2023's inflation rate came in at 5.2 per cent in Canada, while in Manitoba the number sits at 6.4 per cent.
Both have dropped since January – 5.6 in Canada and 6.9 in Manitoba – sticking with a trend that started in the back half of 2022.
"I think that that's obviously a good sign for both Manitobans and Manitoba businesses, is that it seems like the majority of the pressures that we felt as a result of inflation with those cost pressures is behind us," said Chuck Davidson, the president and CEO of the Manitoba Chambers of Commerce.
Davidson said the hope is this decrease will continue and it will lead to prices in the province flattening out.
"So I think what this really will start to do is restore confidence for Manitobans that have taken on increased debt, and so have businesses over the course of the last number of years as well, to put them to a more stable position."
Loren Remillard, the president and CEO of the Winnipeg Chamber of Commerce, said while the number in Manitoba is still high – the third highest in Canada – the situation is trending in the right direction.
"Every time we've spoken with our members, surveyed our members, inflation is amongst the top three concerns and challenges that they're facing," said Remillard. "But for now, everything seems to be trending in the right direction, which would give an indication that perhaps we've peaked and we can start making some plans for a time when we won't be in this level of inflation."
COULD PRICES DROP AT THE GROCERY STORE?
As inflation has skyrocketed since the pandemic, so has the price of everyday goods in Manitoba, such as food at the grocery store.
Michael Mikulak, the executive director of Food and Beverage Manitoba, said it's hard to say if prices will drop for food items the same way the price of oil and gas climbs and falls with inflationary changes.
"I think it's highly dependent on what drops. Will the cost of oil come down? Will other things? I mean, there could be a lag. It really depends on what position a lot of these companies were in coming into it, where they were able to position themselves," said Mikulak.
"I don't think there is a simple answer to when food prices will stabilize, or come down. I'm not sure if they will come down substantially. I mean, I think at this point, everybody's hopeful that they will start to stabilize."
He noted the food industry is impacted by so many other factors, pointing to the war in Ukraine, the COVID-19 pandemic and even climate change.
Mikulak added food producers that he has talked to say they have been trying to pass on the savings to Manitobans wherever it is possible.
"Just know that the food and beverage manufacturers across this country are working hard to keep those costs at bay and really to pass on any savings that they're able to. The margins in this sector are extremely small, most are operating in single digits. So this is not a sort of attempt to make a buck off of this."
WHAT IS A STABLE INFLATIONARY NUMBER MANITOBANS SHOULD LOOK FOR?
Both Remillard and Davidson said there is still a ways to go before inflation is viewed as stable in the province.
"I think it'd be similar to what we're expecting with the Bank of Canada and I think the Bank of Canada set inflationary rates of two per cent. So we're still a ways from that point, but I think all signs seem to be that we're heading in that direction," said Davidson.
The two per cent mark is a number that Remillard said Manitobans have learned to live with.
"We felt that it created the appropriate level of growth, but didn't create undue pressures in the system, you know runaway costs, runaway pressures, which we've seen in other countries where you see hyperinflation," said Remillard.
"I think at the end of the day, the perfect number for any Manitoban is one that allows me to be able to plan with confidence and that I can make sure that I'm maximizing my discretionary spending, make all my bills that I need to pay and have a little left over to enjoy, you know, the full quality of life that people want."
CTVNews.ca Top Stories
'My family doctor just fired me': Ontario patients frustrated with de-rostering
Dozens of Ontarians are expressing frustration in the province’s health-care system after their family doctors either dropped them as patients or threatened to after they sought urgent care elsewhere.
'I am angry': Alberta farmers will continue fight over world class motorsport resort
The rolling hills leading to the hamlet of Rosebud are dotted with sprawling farms and cattle pastures -- and a sign sporting a simple message: No Race Track.
Potentially toxic chemicals hide in our drinking water and countless household objects, and they're not going anywhere
For decades, North Bay, Ontario's water supply has harboured chemicals associated with liver and developmental issues, cancer and complications with pregnancy. It's far from the only city with that problem.
'It was violent': Police tear down U of A pro-Palestinian encampment Saturday morning
Multiple people at the protest camp torn down at the University of Alberta campus Saturday say police's actions against protesters were "violent" and "disproportionate."
Election deniers: West Virginia voters must pick from GOP candidates who still dispute 2020 election
When West Virginia Republicans vote in Tuesday's primary, they will have a hard time finding a major candidate on the ballot in any statewide race who openly acknowledges that U.S. President Joe Biden won the 2020 election.
Canada Post cracks down on Nunavut loophole to get free Amazon Prime shipping
Amazon's paid subscription service provides free delivery for online shopping across Canada except for remote locations, the company said in an email. While customers in Iqaluit qualify for the offer, all other communities in Nunavut are excluded.
Man ticketed after allegedly trespassing again at Drake's Bridle Path mansion to get his bike
A man who tried to access Drake’s Bridle Path mansion earlier this week returned to the property Saturday and was apprehended again for allegedly trespassing, Toronto police say.
Adopted daughter in the Netherlands reunited with sister in Montreal and mother in Colombia, 40 years later
Two daughters and a mother were reunited online 40 years later thanks to a DNA kit and a Zoom connection despite living on three separate continents and speaking different languages.
Biden calls Trump 'unhinged,' says 'something snapped' in former president after he lost 2020 U.S. election
U.S. President Joe Biden on Saturday called Donald Trump “clearly unhinged” and claimed that “something snapped” in the former president after he lost the 2020 election.