Budgets/Spending/Market Size

The price hike is expected to be approved by provincial authorities next month and take effect Feb. 1.

Coffee giant, which co-locates with C&G across Canada, is grappling with many of the same issues as conveniencve stores.

Unemployment remains high, companies face labour shortages and some sectors are further from recovery, which is prompting the government to target aid based on need.

Ready-to-drink beverages, concentrated drink mixtures and dispensed beverages like slushies and fountain sodas will all be subject to the tax.

Shipping, labour and other input costs are projected to remain high, driving up prices.

Move could put a further pressure on already tight labour market.

Food prices are on the rise.

Report notes that refineries ramped up activity to keep pace with increased demand as economic activity picked up momentum.

"Retailers looking to help bridge the gap between action and intention, and do so profitably, will need to shift their mindsets," according to EY Future Consumer Index Survey.

Mounting contractual costs force government’s hand.