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FTC Report Says Grocers Exploited Consumers During COVID-Era Supply Chain Disruptions

New York Times via MSN: “Throughout the COVID-19 pandemic, grocery prices skyrocketed as shelves were left bare of novelties and necessities. The culprit? Supply chain disruptions. The COVID-19 pandemic severely strained the U.S. food supply chain, exposing vulnerabilities from farm to table. With limited capacity to meet surging demand due to sick workers and supply shortages, some companies seized the opportunity to increase prices and boost profits. Larger retailers, wielding more influence, reinstated fines and penalties on suppliers through OTIF policies, giving them a competitive edge over smaller rivals. A new report by the Federal Trade Commission seeks to answer some of the questions surrounding the years of price increases, while examining the pandemic-related supply chain issues among retailers, wholesalers, and suppliers and the impacts on consumers and businesses. Ultimately, the report indicates that large grocers took advantage of disruptions in the supply chain to raise consumer prices.  In the United States, there are approximately 25,000 conventional supermarkets and roughly 15,000 additional grocery retail stores in different formats…”

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