
This article was last updated on April 16, 2022
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Aboriginal Affairs and Northern Development Canada have announced to be seeking proposals to “develop subsidy models and support an engagement with communities for the Nutrition North Canada program in 2015-16.” The request for proposals on Jan. 26 is anticipated to be followed by chances to the federal Nutrition North Canada program.
Launched in 2010, Nutrition North Canada replaced the federal government’s food mail program and is since spending almost $60 million a year to offset the high cost of food in Northern and isolated communities. However, the program has received sheer criticism by local communities that claim that there are very savings under the program. Last November, the Auditor General’s office mentioned in a report that the program does not ensure whether northern retailers have passed the full air freight subsidy onto consumers. According to the report, AAND does not collect information from retailers on their profit margins to ensure they’re in full compliance.
In addition to pointing out the problem, the auditor general also suggested a solution and recommended the program’s contribution agreements to be changed to include information on their profit margins that retailers get on subsidy-eligible food items. The recommendations made in the report were applauded by Aboriginal Affairs minister, Bernard Valcourt, who announced to have accepted them and promised to adopt them soon. Minister Valcourt stated that “in the coming months, our government will also be engaging with Northerners, retailers and suppliers on ideas to keep improving the program.”
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