TORONTO (Oct 30, 2007) Eat local is more than just a touchy-feely foodie fetish. It's a trend that makes good business sense.
That was the buzz on the trade floor at the annual Canadian Federation of Independent Grocers conference yesterday.
"This is a trend ... for retailers it provides opportunities to connect with local consumers," said Alan Crawley, manager of domestic marketing for the Foodland Ontario program of the agricultural ministry.
For the first time, the conference showcased Ontario and Canadian goods produced by small- to medium-sized businesses which often don't have the money and marketing acumen to get in the door of the mass marketers.
Bill McEwan, president and CEO of Sobeys, Canada's second-largest grocery chain, acknowledged that identifying such trends is one way to be different, and therefore find a spot in the shrinking grocery market.
"Square footage (of grocery stores) is outpacing (customer) demand," he said. "We have no intention of changing our business model. We will stay as local as we can."
He warned grocery stores that use a cookie-cutter approach in the grocery business will "kill the spirit" of individual stores. McEwan said Sobeys' success is rooted in the ability of each of its stores to reflect community.
CFIG president John Scott said independent grocery stores can be more flexible than chain stores.
That flexibility will allow them to showcase locally grown, prepared and processed products, increasing store loyalty among health conscious, eco-savvy shoppers.
Foodland Ontario's Crawley said the aim of the Ontario booths at the conference is to raise awareness among consumers and retailers alike that there is more to Ontario than just great produce.
"People know we have apples but they didn't think about Ontario's dairy, deli, bakery, about the thousands of products available."
A Foodland Ontario consumer study last year found that a large majority of shoppers who recognize the logo (95 per cent) plan to buy Ontario products.
The movement to buy local is being driven by a series of factors, including the desire by chefs to feature local food on menus as well as increasing consumer concerns about offshore food production methods.
Dror Balshine, owner of Sol Cuisine, a Mississauga-based producer of organic, vegetarian products, said consumers used to buy his veggie burgers because they were healthy. Now it's also about buying local.
"Some people want local, some want organic. They're concerned where we're buying our soybeans from, Asia or South America. They don't want that."
But while consumers may be wanting to buy local, producers say it's hard to get products to market.
"Customers are desperate for Canadian and organic products but it's hard to find. It's difficult to get into the main stores," said Kim Elkington of Algonquin Tea Company, which makes organic teas in Ottawa.
John Jaques, whose organic Sunshine Pickles, made in Thamesville, Ont., are a big hit in mainstream Western grocery stores, said Ontario grocery stores and consumers need to change their attitudes about buying local.
"The buy-local movement must have consumers putting pressure on the stores in order to get the products," he said, suggesting price seems to be more of an issue here than out West.
Crawley said retailers will start seeing local as an advantage to selling the product.
"We want to put buying Ontario as a top-of-mind position."
lmarr@thespec.com
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