Frito-Lay pauses shipments to Loblaw stores, cites rising costs of ingredients, packaging, transportation

One of Canada’s biggest food manufacturers has halted shipments to the country’s largest grocer in an extreme example of how inflation is impacting the food industry and driving a wedge between some retailers and suppliers.

At issue is a dispute over pricing between Frito-Lay Canada and Loblaw Companies Ltd.  Frito-Lay, the maker of brands like Cheetos, Doritos, Lays, Ruffles and Sunchips, says it’s trying to recoup higher costs.

The situation has left the chip and snack food aisle of many Loblaw stores less full than usual, or stocked with house brands, such as President’s Choice or No Name.

Frito-Lay spokesperson Sheri Morgan confirmed