Comparing retail prices with the U.S.
The average Canadian prices for dairy products such as yogurt, butter, and cheese were lower than in the U.S. in 2024. This trend continued in 2025 according to the most recent data available from Statistics Canada and its U.S. counterpart the Bureau of Labor Statistics.
According to these official sources, from January to November 2025, retail yogurt prices in Canada averaged $2.12 per kilogram less than in the U.S., while Canadian retail prices for cheese and butter were lower by $4.28 and $2.14 per kilogram respectively. During the same time period, fluid milk prices in Canada were slightly higher than the U.S. average – at $1.69 per litre compared with $1.50 per litre.
These numbers show Canadian dairy retail prices as competitive with those found south of the border. It should also be noted that the U.S. offers production subsidies to farmers, which means consumers are paying at the store checkout and again through their taxes.
Canadian food inflation
Canadian food inflation data shows that dairy product prices rose slower than food in general. In 2025, dairy retail price inflation in Canada was lower at 2.1% than overall food inflation at 3.2%. During that time, the price farmers were paid declined slightly (0.0237%).
What this all tells us about farm and retail prices.
The evidence shows that changes in farm prices do not automatically flow through, dollar for dollar, to consumers. In practice, retail prices reflect a wide range of factors beyond what farmers are paid; including work done at the processing, transportation and retail levels, as well as market conditions.
