Carney warns Canadians must ‘take control’ of food after Trump claims US ‘doesn’t need anything’ from Canada -

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Every time there’s a drought, geopolitical conflict or new tariff threat, shoppers eventually feel it in the grocery aisle, according to Prime Minister Mark Carney.

“That reliance on foreign markets means that every global shock — foreign conflict, drought and tariffs — shows up directly at grocery stores across this country,” Carney said recently, while unveiling a $3.2 billion food security strategy (1) designed to strengthen Canada’s domestic food supply. “To protect our sovereignty and take control of our future, we must take ⁠control of our food system.”

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The announcement comes after President Donald Trump suggested (2) that the United States doesn’t “need anything that Canada has,” as trade talks between the two countries continue.

Households across North America continue struggling with elevated food costs and ongoing concerns about inflation.

Carney’s government argues Canada has become too vulnerable to supply-chain disruptions, trade tensions and other global shocks that can quickly translate into higher grocery prices.

The details

In a press release by the Prime Minister’s Office (3), the strategy was described as an effort to produce “more choice, more control and more Canada.”

“We are going to grow more at home, process more at home and feed more Canadians with Canadian food,” he said to reporters.

The plan has four main goals (4): increasing competition in the sector, boosting domestic food production, expanding year-round fruit and veg growing and reducing regulatory barriers throughout the agricultural supply chain.

To accomplish this, the government plans to invest $1 billion in food terminals and distribution hubs that would help independent grocers access goods without relying on large retail chains. Ottawa also committed nearly $130 million to strengthen enforcement against anti-competitive business practices.

Additionally, the plan includes more than $1 billion in financing and grants to help food producers and processors scale up their operations. They can also use the funds to modernize equipment and increase domestic food production.

And finally, Ottawa says it will streamline regulations across the agricultural sector by speeding up approvals and reducing administrative barriers that can slow production.

“A country that can’t feed itself, fuel itself or defend itself has few options,” Carney said in January while speaking at the World Economic Forum (5) in Davos. “When the rules no longer protect you, you must protect yourself.”

Could a similar strategy work in America?

Carney’s $3.2 billion food-security strategy sounds ambitious, but an equivalent program scaled to the U.S. population would amount to roughly $19 billion over a decade. While that’s a lofty number, it’s still a little less than 2% of what the U.S. spends on defense (6) in a single year.

The question is whether it would actually lower grocery prices.

While both Canada and the United States rank among the world’s largest agricultural exporters (7), Canada relies more heavily on imported food in several key categories. According to Ottawa, half of Canada’s food imports come from the U.S., while 88% of its fresh fruits and nuts and 72% of its vegetables are sourced from abroad.

Still, some aspects of the plan could reduce vulnerabilities — specifically investment in the supply chain infrastructure. There’s much talk of cybersecurity threats or Chinese intrusions (8), but perhaps more importantly, only 27% of U.S. farms use precision agriculture practices (9) (such as GPS guidance, yield monitoring, etc.) and an overwhelming number of farms rely on aging equipment, especially on smaller farms. This equipment was first made available in the ‘90s, but due to the high cost of implementing the technology, it has not seen as much uptake despite its yield-optimizing benefits (10).

However, higher productivity doesn’t necessarily translate to lower grocery bills.

Inflation is driven by a wide range of factors, from labor and energy costs to weather and global economic conditions, limiting how much governments can influence prices.

Inflation recently hit 4.2% (11), but where it goes next remains difficult to predict, regardless of which policies governments pursue.

As a result, many investors look for ways to hedge against rising prices and preserve their own financial wellbeing. While no hedge is perfect, assets like gold, real estate and certain alternative investments have historically been popular choices during periods of inflation and economic uncertainty.

How some investors prepare for inflation

One of the oldest inflation hedges is gold.

While gold doesn’t generate income like stocks or real estate, many investors view it as a store of value during periods of economic uncertainty, currency weakness or persistent inflation.

For investors interested in investing in gold, a gold IRA can provide both portfolio diversification and potential tax advantages.

Priority Gold helps investors hold physical gold and other precious metals within a tax-advantaged retirement account, allowing them to combine the benefits of an IRA with exposure to an asset many view as a hedge against inflation and economic uncertainty.

To learn more and to see if this is the right move for you, request a free information guide that explains the process and includes details on how qualifying purchases can get up to $10,000 in free silver.

But gold isn’t the only asset investors use to protect against inflation.

Real estate has long been part of the inflation playbook

Another asset investors frequently associate with inflation protection is real estate.

Property values and rental income have historically risen alongside and outpaced, broader consumer prices over long periods (12), making real estate a popular diversification tool for investors concerned about inflation’s impact on purchasing power.

You can tap into this market by investing in shares of vacation homes or rental properties through Arrived.

Backed by world-class investors, including Jeff Bezos, Arrived allows you to invest in shares of vacation and rental properties, earning a passive income stream without the extra work that comes with being a landlord of your own rental property.

To get started, simply browse through their selection of vetted properties, each picked for their potential appreciation and income generation. Once you choose a property, you can start investing with as little as $100, potentially earning monthly dividends.

For investors seeking even broader diversification, some are looking beyond both public markets and real estate altogether.

Get creative

Fine art has long attracted wealthy collectors because of its relatively low correlation with stocks and bonds.

Today, platforms like Masterworks have made the asset class more accessible to everyday investors by offering fractional ownership in works by artists such as Banksy, Basquiat and Picasso.

The appeal is partly rooted in diversification. While Goldman Sachs recently forecast annual S&P 500 returns of roughly 3% over the next decade and Vanguard has projected returns closer to 5%, some investors are exploring alternative assets that may perform differently than traditional markets.

More than 70,000 investors have invested through Masterworks since 2019. To date, the platform has sold 27 artworks, generating net annualized returns such as 14.6%, 17.6% and 17.8%.*

Moneywise readers can get priority access to diversify with art: Skip the waitlist here.

*Past performance is not indicative of future returns. Investing involves risk. See important Regulation A disclosures at Masterworks.com/cd .

Building a strategy for an uncertain future

The challenge with inflation is that nobody knows exactly where it’s headed next. Economic forecasts change. Government policies shift. Markets react. The cycle proceeds ever onward, leaving the uninformed behind.

A financial advisor can help you stay ahead of the game. But finding the right advisor isn’t always easy.

That’s where Advisor.com can help.

The platform does the heavy lifting by vetting advisors based on factors such as regulatory history, client ratios and professional experience. Its network is made up of fiduciaries, meaning they’re legally obligated to act in their clients’ best interests.

After answering a few questions about your finances and goals, Advisor.com’s matching tool can connect you with a qualified expert who fits your needs and investing style.

Because no two financial situations are exactly alike, the platform also offers a free initial consultation, allowing you to meet with an advisor and determine whether they’re the right fit.

Have an exit strategy

A good plan is a robust plan. While investing often gets the spotlight, maintaining accessible savings remains one of the most effective ways to improve financial resilience.

A high-yield account like a Wealthfront Cash Account can be a great place to grow your uninvested cash, offering both competitive interest rates and easy access to your money when you need it.

A Wealthfront Cash Account currently offers a base APY of 3.30% through program banks and new clients can get an extra 0.75% boost during their first three months on up to $150,000 for a total variable APY of 4.05%.

That’s ten times the national deposit savings rate, according to the FDIC’s March report.

Additionally, Wealthfront is offering new clients who enable direct deposit ($1,000/mo minimum) to their Cash Account and open and fund a new investment account an additional 0.25% APY increase with no expiration date or balance limit, meaning your APY could be as high as 4.30%.

With no minimum balances or account fees, as well as 24/7 withdrawals and free domestic wire transfers, your funds remain accessible at all times. Plus, you get access to up to $8 million FDIC Insurance eligibility through program banks.

Carney warns Canadians must ‘take control’ of food after Trump claims US ‘doesn’t need anything’ from Canada