A new survey has found that many Canadians want to buy Canadian-made goods and services but are confused as to what that actually means.

Conducted earlier this month online by the Halifax-based firm Narrative Research, the survey corroborates other polls that a majority of Canadians (in this case, 63 percent) are actively seeking out Canadian goods, but it also notes that they need some guidance.

In particular, the survey found that many Canadians aren’t aware of the difference between two commonly used and admittedly similar-sounding terms: “Product of Canada” vs. “Made in Canada.” Unaided, 37 percent of respondents said they’d prefer “Made in Canada” products vs. 23 percent who’d choose a “Product of Canada.” Forty percent, meanwhile, said they had no preference.

However, Narrative Research notes that there’s actually quite a big difference between the two labels. According to Canada’s Competition Bureau, a non-food “Product of Canada” refers to 98 percent of the total direct cost of production being Canadian, compared to only 51 percent for “Made in Canada.”

For food items, the Canadian Food Inspection Agency says a “Product of Canada” is when the majority, if not all, key ingredients, processing and labour came from Canada. “Made in Canada” food items, meanwhile, simply means that ”the “last substantial transformation of the product occurred in Canada, even if some ingredients are from other countries.”

Clearly, then, buying a “Product of Canada” more directly supports Canadian businesses. That said, 75 percent of respondents claimed to understand the term “Made in Canada,” with 63 percent saying the same for “Product of Canada,” despite there not being a huge difference in actual shopping habit preference.

This all changed after respondents were given the clear definitions of each term. Once they were better informed, 66 percent of people said they’d choose a “Product of Canada,” while only 12 percent saying they’d go with a “Made in Canada” product. Those who said they had no preference dropped to 21 percent.

To be fair, the terms seem quite similar, so it’s understandable that many people are confused. Still, it’s interesting to see how much of a difference it would theoretically make in consumer behaviour once things are actually explained to them. Given that the U.S. is set to officially launch a trade war on March 4th, this sort of information is especially useful to help Canadians make informed decisions.

Narrative Research conducted the survey online in partnership with the Logit Group between February 12 and 14 among 1,232 Canadians aged 18 and older. The survey noted that results were “consistent across provinces, ages, gender, income and education levels, showing a high degree of unity in Canadian residents wanting to support products that are produced to the highest degree within our borders.”

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Source: Narrative Research Via: The Financial Post