Here's the kicker - three years ago when our dollar was worth more than the U.S. dollar, prices up here were still bloated; ergo Canadians were flockng over the border in droves!
Retailers have three main excuses for higher prices:
Economy of scale - our population is 1/10 of yours, and spread out over a vaster area. Our stores have reduced negotiating power and a much larger distribution area.
Climate - most of our fruits and veggies must be imported. We have a significantly shorter growing season, and let's be honest, there is no way we can produce oranges, pineapples, cotton, sugar cane ....
Taxes - as I've said before - Universal healthcare may be free, but it ain't cheap.
Other factors - higher tariffs, mandatory bilingual packaging, and of course, the fluctuating dollar.