Cheese Prices Rises in 2014

There is a possibility that the price of cheese may rise this year and the debate on its price is still not resolved. The controversy here however is that pizza companies do not face the same problem as other 12,500 dairy farmers.

It has been said that U.S. supplies cheese to Canada with a 250 per cent tariff crossing the border but exempting the Pizza Pizza and pizzeria companies with such tax. Through the "topping kits" that these companies have conducted, the cheese included in the kit has been disregarded it from tax. 

Just by adding a few slices of pepperoni in the kit with the cheese, the border has already set its mind that it falls at "food preparations" instead of placing it in the cheese category. 

Last November 29, the "food preparations" category was changed in definition to resolve the loophole but now, food services are not happy. 

The president of the Restaurant and Food Services himself, Garth Whyte states that this move is obviously to make peace with the dairy farmers but now, pizza companies have to suffer the costs and may need to buy cheese at 30 per cent higher rates than before. U.S. cheese may be cheaper than Canadian cheese but if there would be a 250 per cent tax on the shipping, pizzerias in Canada might just use the local ones.
Posted by Diane Araga, on January 3, 2014 at 11:00 AM