Loblaws for its part said it is trying to keep grocery prices down for its customers.
It is highly unusual for a supplier to Canada’s largest supermarket company to fail to yield to pricing pressure.
The stores that are not being supplied include Loblaws, Zehrs, Fortino’s, Shopper’s Drug Mart, No Frills, T&T and Super Centres.
Frito Lay’s main Ontario facility is in Cambridge. It is owned by PepsiCo.
The federal, provincial and territorial agriculture ministers are engaged in a review of relationships between supermarket chains and suppliers with a view to developing a code of practice.
The concern has been that the supermarkets hold too much power over suppliers.