Folgers Coffee Vanishes from Loblaw Stores Amid Bitter Price Dispute in Canada
June 15 - 2025
Coffee Geography Magazine
Canadian shoppers at Loblaw Cos. Ltd. stores will no longer find Folgers coffee on shelves after a pricing dispute led the grocery giant to de-list the iconic brand. The sudden disappearance of this breakfast staple has ignited widespread discussion, though the cause is far from mysterious: Loblaw confirmed it pulled all Folgers products following failed negotiations over what it calls "significant and unjustified" price increases proposed by the manufacturer.
In an email to retailers obtained by The Canadian Press, Loblaw’s category director, Suren Theivakadacham, stated the decision resulted from weeks of deadlocked talks. "We are on the side of customers," the email emphasized, framing the move as a stand against unreasonable cost hikes that would "hurt Canadians." Loblaw has provided stores with a list of alternative coffee brands as shelves are reconfigured.
Behind the scenes, a broader struggle over costs simmers. The J.M. Smucker Co., Folgers’ parent company, faces what it describes as record-high commodity expenses and significant exposure from U.S. tariffs on green coffee—its largest raw material challenge. Smucker sources approximately 500 million pounds of green coffee annually, primarily from Vietnam and China. The company aims to balance recouping input costs with offering consumers "attractive options" across price tiers.
This clash unfolds against a backdrop of steeply rising coffee prices in Canada. In April, the cost of coffee and tea surged 13.4% year-over-year—far exceeding grocery inflation (3.8%) and Canada’s overall inflation rate (1.7%). Experts attribute the spike to multiple pressures: extreme weather affecting global yields, a weak Canadian dollar inflating import costs, and lingering retaliatory tariffs on U.S. goods, which still apply to coffee.
As Loblaw draws a line on supplier pricing and Smucker grapples with volatile costs, Canadian consumers are caught in the middle, left to navigate dwindling options in the coffee aisle.