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Some grocers fined for falsely labelling products as Canadian, expert says it’s just the beginning

As demand for local food surges, regulators are cracking down on misleading “Canadian” claims, but questions remain about whether it’s enough.

View of the Real Canadian Superstore entrance with three shoppers looking at the store, and a close-up of fresh apples and price tags in the produce section.
“Buy Canadian” product labelling is under scrutiny as the CFIA fines several grocers, including Real Canadian Superstore, over misleading origin claims. (Courtesy: @realcanadiansuperstore/Instagram, @_angeronimo/TikTok)

What to know

  • The CFIA has issued $47,000 in fines to five food businesses since April 2025 for misleading “Product of Canada” or origin claims.
  • Companies fined include a Fortinos in Etobicoke and a Real Canadian Superstore, with penalties ranging from $7,000 to $10,000.
  • Expert says the crackdown signals a shift toward enforcement, but current fines may be too small to deter large grocery chains.
  • Misleading “Canadian” labels, sometimes called “maple washing,” are becoming more common as demand for local products rises, raising concerns about consumer trust.

The Canadian Food Inspection Agency (CFIA) says it has fined several food businesses a total of $47,000 for inaccurately labelling products as Canadian, as part of a broader effort to protect shoppers and ensure fair competition.

The CFIA says the penalties, issued since April 2025, target companies that marketed products as Canadian when they didn’t meet federal requirements.

Among those fined are a Fortinos location in Etobicoke and a Real Canadian Superstore, with individual penalties ranging from $7,000 to $10,000.

But while the move signals a shift, experts say it may only be the start.

“They signal a shift, but an early one,” said food policy expert Sylvain Charlebois. 

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“The CFIA is clearly moving from education to enforcement, which matters. Publicly naming violations and issuing fines sends a message to the industry. However, at this stage, it still feels more like a warning shot than a full crackdown. The real shift will be confirmed if we see consistent inspections, repeat offenders being penalized more heavily, and a broader pattern of enforcement across the country.”

Who was fined

Five businesses were cited in the enforcement action:

  • A Fortinos store in Etobicoke (operating as 1000717809 Ontario Limited) — $10,000
  • Fresh in The City Inc. — $7,000
  • Meatex Farms Ltd. — $10,000
  • Oxford Frozen Foods Inc. — $10,000
  • Real Canadian Superstore — $10,000

The rise of “maple washing”

The issuing of fines comes as more Canadians try to buy local, something Charlebois says has opened the door to misleading branding practices sometimes referred to as “maple washing.”

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“It’s more widespread than most consumers think,” he said. 

“You see it in produce sections, private-label goods, prepared meals, and even shelf signage—anything that uses maple leaves, red-and-white colour schemes, or vague ‘Canadian’ cues. It has become more prominent because demand for Canadian products has surged. Grocers know consumers want to buy local, and some are pushing that sentiment further than the actual origin of the product justifies.”

That tension between consumer demand and marketing strategy is at the heart of the issue.

“It’s both,” Charlebois added. 

“The demand is absolutely real, Canadians want to support domestic producers more than ever. But retailers are also highly responsive to margins and positioning, and patriotic branding is a powerful marketing tool. The issue is when branding moves faster than transparency. When the emotional appeal of ‘buying Canadian’ isn’t matched by clear, accurate information, it becomes problematic.”

Are the fines enough?

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While the CFIA says businesses are responsible for ensuring labels meet federal rules, questions remain about whether current penalties are strong enough to change behaviour, especially for large chains.

“No, not for large chains,” Charlebois said. “For a major grocer, a $15,000 fine is negligible; it risks being treated as a cost of doing business. If enforcement is meant to change behaviour, penalties need to scale with company size, frequency of violations, and intent. Otherwise, you create a system where compliance is optional rather than essential.”

The agency says enforcement decisions are based on factors like risk, harm caused, and whether violations are repeated or intentional. Inspections can include reviewing packaging, in-store signage, and advertising claims, with businesses required to correct issues or face penalties.

Why this matters for shoppers

At stake is consumer trust, something Charlebois warns can be quickly damaged.

“It can erode trust quickly, and that’s the biggest risk,” he said. 

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“If consumers begin to doubt Canadian labels, it undermines the credibility of the entire food system. The real losers are honest producers who actually meet the standards. Over time, if people feel misled, they disengage from origin claims altogether, and that weakens one of Canada’s strongest value propositions: trust in its food supply.”

The CFIA is encouraging Canadians to report products they believe are misleadingly labelled and to familiarize themselves with how origin claims are defined.

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