NGA - National Grocers Association

12/11/2024 | Press release | Distributed by Public on 12/11/2024 08:10

Statement From National Grocers Association President and CEO Greg Ferrara on the Kroger-Albertson’s Lawsuit Decision

Statement From National Grocers Association President and CEO Greg Ferrara on the Kroger-Albertson's Lawsuit Decision

December 11, 2024

"Today, 69% of all grocery sales are controlled by four nationwide chains. Growth and consolidation once aimed at efficiency are now primarily motivated by amassing raw buyer power used to strong-arm product suppliers while undermining smaller competitors. This marketplace trend was at the core of the failed merger between Kroger and Albertsons.

Grocery consolidation stems from decades of FTC failure to enforce critical antitrust laws like the Robinson-Patman Act, which was designed to protect consumers and foster competition by preventing economic discrimination against independent grocers. Without enforcement, dominant chains abuse their power to coerce preferential pricing and terms of trade from suppliers and agriculture producers. As a result, suppliers are forced to offset these losses by charging higher prices to independent grocers -even when independents buy in similar volumes.

Main Street America has been decimated over the years, losing locally owned grocery stores, pharmacies, and hardware stores. Antitrust laws provide important guardrails to help keep markets free and open, but when enforcers fail to do their jobs, the system breaks down and our communities suffer. Now, it is time for Congress and the FTC to enforce and strengthen antitrust protections to ensure a fair marketplace for independent grocers and their customers."