“Cap credit card fees,” demand Canada's c-stores

Canadian convenience stores back government's federal budget but require action against credit card companies, contraband tobacco and higher taxes imposed on cigarettes.

The Canadian Convenience Stores Association (CCSA) is welcoming the federal government's focus on growing the economy through skills training and innovation, but also demands action in other areas of the business regarding high credit card fees and illegal tobacco sales as part of the 2017 federal budget.

Fees imposed by the big credit card companies continue to take a big chunk out of small retailers, which can be as high as 4% per transaction.

“We welcome and look forward to being active participants in the Department of Finances review of credit card rates and hope the budget's commitment to support business growth will result in overdue relief for small merchants later this year," said CCSA President, Satinder Chera.

Canada remains a safe-haven for the sale of illegal tobacco products, which continue to rise in Canada's biggest province (Ontario) as outlined in a 2016 report by the Ontario Convenience Stores Association.

Another complaint is the proposed increase in taxes for tobacco. "It appears many retailers will see a hike in their tax obligations without any real warning or period of adjustment, which will place an undue burden on smaller retailers and feed the underground economy for illegal tobacco products," said Chera.

Convenience stores are the largest retail channel in Canada, employing over 227,000 people and serving 10 million customers each day in over 26,000 locations across the country, according to the CCSA.