Is Local Farm Food Actually More Expensive?

Many people assume that buying local means paying more. It’s a common belief—but is it actually true?

Understanding the Costs

Retail grocery pricing includes more than just the food. You’re also paying for logistics, marketing, retail space, overhead, and profit margins. That adds up quickly, even for everyday items like eggs, bread, or meat.

Farmers, on the other hand, often operate on thinner margins. When they sell directly to customers—through co-ops, markets, or buying groups—they can offer better pricing per unit, especially when sold in volume.

Source: Canadian Agri-Food Policy Institute – Local Food Pricing Trends (2023)

Other Factors Affecting Price

• Seasonality: Local food is often more affordable in-season
• Packaging: Less packaging = lower costs
• Distribution: Shorter delivery chains can lower prices, depending on fuel and labour needs

The Bottom Line

While not always cheaper, local food purchased thoughtfully can be competitive with grocery store pricing—and often comes with the added benefits of freshness, transparency, and support for Canadian producers.

If you're exploring ways to support Ontario farms or buy more intentionally, local sourcing might be worth considering.