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Ontario Food Terminal expansion aims to boost local produce access and affordability

Federal government funding will expand the Etobicoke hub that moves 2.1 billion pounds of produce annually across Canada.

· 2 min read · HOC Toronto Desk
Ontario Food Terminal expansion aims to boost local produce access and affordability
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Ontario growers and business owners are hopeful that an expansion of the Ontario Food Terminal (OFT) in Etobicoke will improve access to local produce and help bring down grocery prices.

The OFT is a wholesale marketplace where fresh produce is bought and sold in bulk. It distributes nearly 2.1 billion pounds of fruits and vegetables annually across Canada, making it a critical piece of national food infrastructure. Hutch Morton, whose family business has operated at the terminal for nearly five decades, calls it "the lifeblood of what our business does and the lifeblood of what a lot of businesses in the Toronto community depend on."

In June, the federal government launched Canada's first-ever National Food Security Strategy, with Prime Minister Mark Carney announcing over $3 billion in spending over 10 years to produce more food domestically and make it more affordable. The strategy commits $1 billion to the Food Link Fund, which will support food terminals and food hubs. The plan includes expanding the OFT by the end of this year, opening two new food terminals, and establishing or expanding 10 smaller food hubs by the end of 2028.

Raymond Den Boer, president of Den Boer Farms in Otterville, Ontario, which grows vegetables on 102 hectares, says he visits the OFT three times a week but sometimes has to set up outside due to overflow — exposing his products to temperature extremes that damage freshness and discourage shoppers. An expansion would keep product colder longer and create a better environment for customers to buy local.

Vicky Lee, owner of Little Harvest Market at The Well, sources produce from farmers at the OFT five times a week. She says the expansion will let her continue buying locally sourced goods without relying on competitors' supply chains. "We know our farmers by name," she said.

Still unanswered

How much will the OFT expansion cost and when will construction begin?

What will be the timeline for the two new food terminals and 10 smaller food hubs?

Will the expansion measurably lower grocery prices for Toronto consumers, and how will that be tracked?

We'll update this story as answers emerge.

The facts

How much produce does the Ontario Food Terminal distribute annually?

The Ontario Food Terminal distributes nearly 2.1 billion pounds of fruits and vegetables annually across Canada.

How much federal funding was announced for food security?

In June 2026, the federal government announced over $3 billion in spending over 10 years through Canada's first-ever National Food Security Strategy, with $1 billion committed to the Food Link Fund.

When is the Ontario Food Terminal expansion planned to be completed?

The Ontario Food Terminal expansion is planned to be completed by the end of 2026.