Indian and Northern Affairs Canada (INAC) makes payments to Canada Post to subsidize the transportation of food and essential non-food items by air to approximately 145 northern communities in Nunavut, the Northwest Territories, Yukon, Labrador, Quebec, Ontario, Manitoba, Saskatchewan and Alberta. The Food Mail Program has been in place for over 30 years.

The objective of the program is to reduce the cost of nutritious perishable food and other essential items. By making a healthy diet more affordable in isolated northern communities, the program is intended to improve nutrition and health.

Since July 1993, the postage rate has been $0.80 per kilogram plus $0.75 per parcel for nutritious perishable food. Higher rates are charged for non-perishable food and non-food items: $1.00 per kilogram in the provinces (in effect since January 1994) and $2.15 per kilogram in the territories (in effect since 1990), plus $0.75 per parcel.

A pilot project will begin on July 1, 2002 in Kangiqsujuaq, Quebec. The pilot project involves:

• a postage rate reduction of $0.50 per kilogram for "Priority Perishable Foods";
• an intensive nutrition education program to be delivered by the Nunavik Regional Board of Health and Social Services; and
• retail promotion of healthy foods.

In December 2001, a similar pilot project was launched in Kugaaruk, Nunavut.

Priority perishable foods include fresh and frozen fruit and vegetables, frozen juice concentrate, most dairy products and eggs. Throughout these pilot projects, the cost of shipping these foods to Kugaaruk and Kangiqsujuaq will be reduced from $0.80 per kilogram to $0.30 per kilogram plus $0.75 per parcel.

In both communities, surveys to collect baseline information about current food consumption habits, food purchasing, and food security were conducted. The impact of the project on food prices, consumption, nutrition and food security will be evaluated over the next 18 months.

Kugaaruk, formerly Pelly Bay, is a community of about 600 people, located approximately 1,300 kilometres northeast of Yellowknife.

Kangiqsujuaq, formerly Wakeham Bay, is a community of about 540 people, located at the northern tip of Quebec, approximately 1500 kilometres north of Val-d'Or, which is the entry point for shipments to northern Quebec under the Food Mail Program.

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