Fruit, vegetable industry wary of proposed plastics ban

Glacier FarmMedia – Canada’s fruit and vegetable industry is concerned it can’t meet new federal proposals for more sustainable packaging.

The president of the Canadian Produce Marketing Association said the 850 companies it represents, which grow, pack, ship and sell fresh produce, have already reduced their use of plastic by 17 per cent to address the zero plastic waste agenda.

Why it matters: The Canadian produce industry says it is struggling to meet the plastic reduction targets set by the federal government.

However, Environment and Climate Change Canada proposals “are impossible to meet for our sector,” Ron Lemaire told the standing committee on agriculture last month.

The April 2023 proposals set out targets to reduce plastic pollution, such as requiring 75 per cent of fresh fruits and vegetables to be sold in bulk without plastic packaging by 2026, and 95 per cent by 2028.

Grocers have estimated the elimination of plastics will cost them about $6 billion. Lemaire said that is a conservative estimate based on a 2023 Deloitte Canada report commissioned to help the industry understand the impacts of the ban.

“This isn’t single use plastics,” he said. “These are plastics that could be recycled and put into a circular economy. We’re anticipating if we were to eliminate the technology from our sector, it would be upwards of a 34 per cent increase in food costs.”

He said there are some alternatives to plastics but they all come at a higher cost. Strawberries, for example, can’t be packed into some of them because they wouldn’t survive shipping.

“We need to look at a fit-for-purpose package that meets the requirements,” he said.

“It would basically, with the current proposed model, eliminate all the bag salad industry. It would eliminate any of the value-added components, so all of the fresh cut business.”

Lemaire said there are food safety risks as well.

Conservative MP Lianne Rood asked about the economic impact of not being able to provide fresh fruit and vegetable trays.

Lemaire said consumption of fruit and vegetables is already down and far below recommended daily intake. Packaging can drive consumption.

He said the economic burden of low fruit and vegetable consumption is $8 billion.

“We are looking at that $8 billion figure with every serving reduced, we see the numbers increase significantly,” he said. “We’re looking at conservatively $6 billion, add on $8 billion.”

That affects the market and results in job loss from the sector, he said, adding that the impact on food waste will be dramatic, at more than 50 per cent for certain products.

“What’s really scary is an increase in greenhouse gas emissions of over 50 per cent because of the waste components that start occurring from field right to the consumer,” he said.

Alistair MacGregor, the NDP agriculture critic, said plastic accumulation in the food chain, such as micro-plastics in fish, is a real concern. He asked what could be done to make sure plastics are being reused.

Lemaire said Ottawa should take a strategic approach to harmonize recycling systems and educate Canadians.

“When we look at the proposed regulatory approach and the P2 (pollution prevention) notice, it is actually removing the ability for compostables and biodegradable plastic materials,” he said.

“We have members who have invested in new technologies that have a totally biodegradable material that does not leave any microplastics in the environment. It’s quite costly, but the industry is invested.”

The use of fibre-based packaging is on the rise, he added.

Conservative agriculture critic John Barlow asked what effect the amendments to Bill C-234 would have on the sector if they went ahead. If the bill is passed as it currently stands, greenhouses would not be exempt from the carbon tax on their natural gas or propane charges.

Lemaire said the tax now costs the greenhouse sector about $22 million a year, and that will rise to $100 million by 2030.

“We talk about food cost — this is putting it through the roof,” he said.

Stefan Larrass, chair of business risk management at Fruit and Vegetable Growers of Canada, also said the exemption would save producers tens of millions of dollars.

He said a 2022 survey found 44 per cent of growers are operating at a loss and 77 per cent can’t offset production cost increases.

He said other countries help their farmers much more than Canada does.

“When it comes to financial support, the U.S. provides twice as much as Canada to sectors that are outside of the supply management system.”

Horticultural operations don’t fit either AgriInsurance or AgriStability, Larrass said, and that has to change.

– Karen Briere is a reporter with The Western Producer.