Grocery Chains Accused of Using COVID to Reap Excessive Profits and Widen Dominance

∎ Grocery chains exploited shortages during COVID to significantly raise prices beyond what was needed to cover costs, reaping excessive profits ∎ Larger retailers used their power to widen advantage over smaller competitors ∎ Grocery retailer profits in 2021 and 2022 were over 6-7% above total costs, casting doubt that price hikes simply reflected rising costs ∎ Big chains imposed strict delivery rules on suppliers, disadvantageing smaller rivals and entrenching market power
∎ Grocery mergers could further consolidate concentrated markets, harming smaller competitors