-- Shares Facebook Twitter Reddit Email Democratic presidential nominee Kamala Harris is planning to enact the first-ever federal law against corporate price gouging in the food and grocery industries, much to the frustration of some major corporations and food executives. In a speech made last Friday, Harris promised to crack down on “excessive prices unrelated to the costs of doing business” by food suppliers and grocery stores, including those involved in big mergers and acquisitions. Harris noted that amid the rising cost of groceries — which have gone up by 25% between 2019 and 2023, faster than other consumer goods and services, according to the U.
S. Department of Agriculture (USDA) — several food companies are raking in more profits. Foods like bread are now about 50% more expensive than before the COVID-19 pandemic, Harris said.
The current vice president specified that she is looking to target businesses that are illegally hiking up prices and not “playing by the rules.” Harris added that competition within the food industry is ultimately necessary to help bring down the high cost of food nationwide. However, food companies begged to differ, arguing that price hikes are imperative due to high inflation which has caused the costs of labor and raw materials to increase greatly.
“We understand why there is this sticker shock and why it’s upsetting,” Andy Harig, vice president of Tax, Trade, Sustainability & Policy Development at the Food Industry Assoc.
