{"id":654659,"date":"2026-05-07T22:33:17","date_gmt":"2026-05-07T22:33:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/654659\/"},"modified":"2026-05-07T22:33:17","modified_gmt":"2026-05-07T22:33:17","slug":"montreal-small-businesses-absorb-rising-costs-as-oil-prices-climb","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/654659\/","title":{"rendered":"Montreal small businesses absorb rising costs as oil prices climb"},"content":{"rendered":"<p>Small businesses in Montreal say rising oil prices linked to the war in Iran are starting to hit their bottom line.<\/p>\n<p>Among them is Jardin Chez Michel in the Jean-Talon Market, whose co-owner says higher costs are forcing them to rethink how they operate to avoid passing the bill onto their customers.<\/p>\n<p>\u201cThe machinery, it takes diesel. When we deliver flowers over here, it takes either diesel or gas. When we heat the greenhouses, it\u2019s oil, fuel,\u201d said Luigi Bono.<\/p>\n<p>Plants, flowers, fertilizer and seeds \u2013 all getting more expensive as fuel prices rise.<\/p>\n<p>\u201cEverything has increased by at least 20-25 per cent this year,\u201d Bono said.<\/p>\n<p>READ: <a href=\"https:\/\/montreal.citynews.ca\/2026\/05\/01\/gas-prices-montreal\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Gas prices climb above $2 per litre again in parts of Montreal<\/a><\/p>\n<p>But as costs go up, prices at Jardin Chez Michel stay the same. \u201cWe take the hit, in a certain way,\u201d Bono explained.<\/p>\n<p>Because of how quickly oil prices can spike, Bono says supplier prices can fluctuate from day to day. And with competition from big-box retailers, he says simply raising prices isn\u2019t an option.<\/p>\n<p>\u201cWe\u2019re competing against giants, Costco, Walmart,\u201d he said.<\/p>\n<p>\u201cWe used to afford to deliver it for $10, $15, but now with the price of gas increasing, we\u2019re losing too much money if we do that.\u201d<\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" width=\"1024\" height=\"768\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/05\/Jardin-Chez-Michel-1024x768.jpg\" alt=\"\" class=\"wp-image-482629\"  \/>Jardin Chez Michel in the Jean-Talon Market on May 7, 2026. (Zachary Cheung, CityNews)<\/p>\n<p>Economists say many businesses are now weighing whether it\u2019s cheaper to absorb rising costs, or risk losing customers by raising prices.<\/p>\n<p>\u201cThey\u2019re making the same calculation as every other business, so whether we\u2019re talking about Walmart or a local mom-and-pop shop,\u201d said economist Moshe Lander.<\/p>\n<p>But Lander specifies smaller businesses often have less room to maneuver when costs suddenly spike.<\/p>\n<p>\u201cSmall businesses probably because they\u2019re operating on those wafer-thin margins to begin with have a smaller timeframe than the Walmarts of the world,\u201d he said.<\/p>\n<p>The Montreal flower shop isn\u2019t alone. It\u2019s also the case for agricultural company Lufa Farms.<\/p>\n<p>\u201cWe have a few instances for, again, the few imported products where we do have some fuel surcharges. For now, we are absorbing that cost,\u201d said Lionel Trombert, the vice-president of finance at Lufa Farms.<\/p>\n<p>The company says it\u2019s been able to soften some of the impact through methods that don\u2019t rely on oil and gas, like using hydroponics instead of soil to grow their crops.<\/p>\n<p>Also, more than half of the company\u2019s orders are delivered by electric vehicles.<\/p>\n<p>\u201cWe have about 65 per cent of all orders delivered by EV,\u201d Trombert told CityNews.<\/p>\n<p>For smaller businesses like Jardin Chez Michel, there\u2019s no easy workaround. Bono says the store will keep adapting as long as it can, but he says even that remains difficult amid a cost of living crisis.<\/p>\n<p>\u201cThe normal people, they\u2019re struggling,\u201d he said. \u201cThey want to encourage us, but they also want to save money.\u201d<\/p>\n<p>\t\t\t\t\t<img loading=\"lazy\" width=\"1024\" height=\"577\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/05\/Luigi-Bono-e1778187820791-1024x577.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" ratio=\"16x9\" decoding=\"async\"  \/>\t\t\t\t\t<\/p>\n<p>\t\t\t\tLuigi Bono, the co-owner of Jardin Chez Michel, says businesses are feeling the pinch from rising oil prices. (Zachary Cheung, CityNews) <\/p>\n<p>\t\tKeep it Factual<\/p>\n<p>Add CityNews Montreal as a trusted source on Google to see more local stories from us.<\/p>\n<p>\t\t<a href=\"https:\/\/www.google.com\/preferences\/source?q=montreal.citynews.ca\" rel=\"nofollow noopener\" target=\"_blank\"><br \/>\n\t\t<img decoding=\"async\" class=\"add-trusted-source-badge\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/05\/1778167391_565_google-trusted-badge.png\" alt=\"Add as a preferred source on Google\"\/><br \/>\n\t\t<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Small businesses in Montreal say rising oil prices linked to the war in Iran are starting to hit&hellip;\n","protected":false},"author":2,"featured_media":654660,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[194292],"tags":[49,48,2338],"class_list":["post-654659","post","type-post","status-publish","format-standard","has-post-thumbnail","category-montreal","tag-ca","tag-canada","tag-montreal"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/654659","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=654659"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/654659\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/654660"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=654659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=654659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=654659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}