Canada’s food regulatory body has imposed a $10,000 penalty on a supermarket owned by Loblaw for falsely advertising imported goods as a “Product of Canada.” The Canadian Food Inspection Agency (CFIA) informed CBC News that a Toronto Superstore used “maple leaf advertising decals” in an in-store exhibit to promote a foreign item inaccurately.

The CFIA stated in an email that this marketing tactic was deceptive to consumers regarding the product’s origin. The fine was issued on January 15, but the announcement was delayed until this week. The CFIA has the authority to levy fines of up to $15,000 per violation. Both the federal agency and Loblaw declined to disclose the specific product that led to the penalty.

The Superstore in question is situated on Gerry Fitzgerald Drive in the north end of the city. Loblaw acknowledged the difficulty of ensuring accurate country-of-origin labels, especially with extensive inventory. The company expressed its commitment to enhancing internal processes, apologizing for any confusion caused.

The growing frustration among consumers over the lack of fines stems from the buy-Canadian movement that gained momentum in response to geopolitical tensions. Grocers capitalized on this trend by misleadingly using Canadian branding to promote foreign-produced goods. The CFIA’s decision to penalize the Superstore follows a previous CBC News investigation that exposed misleading advertising practices by major grocers, termed as “maple washing.”

Federal regulations mandate that food labels and store signage must be truthful and not deceptive. Instances of misrepresentation included a Toronto Sobeys advertising almonds with a Canadian symbol, even though almonds are not grown in Canada. Similarly, a Loblaw-owned Toronto No Frills store falsely labeled strawberries as “Prepared in Canada” despite being a product of the USA.

Consumers expressed disappointment last year when the CFIA did not levy fines in multiple instances of “maple washing” highlighted by the agency. The CFIA emphasized its commitment to addressing food mislabeling and enforcing appropriate actions based on various factors.

Despite ongoing investigations into mislabeling cases involving major retailers like Sobeys, fines have not yet been issued. Consumers, like Sheila Young, have urged the CFIA to take more decisive action against such misleading practices. The CFIA defines “Product of Canada” as food entirely or almost entirely produced in the country, while “Made in Canada” requires the final significant transformation of the food product to occur within the country.