Connecticut Attorney General William Tong now wants the state to give his office more authority to go after potential price gouging at major grocers.
“One of the things that we've been pushing hard for is expanded authority to investigate price gouging,” Tong said. “We have a strong price gouging statute, but only in emergencies.”
Tong spoke in mid-July about rising food prices, as residents continue to say grocery prices have only increased long after the pandemic lockdowns, which disrupted food supply chains. Tong wants more authority months after he previously spoke about the topic in April, as previously reported by CT Mirror.
Residents like Laura St. John, from Milford, say they’ve noticed an increase in prices.
“We got cherries that were $14.77, did not realize how expensive those were, $5.49, a pound,” St. John said.
St. John works as a photographer and has two children. She recently made a shopping trip to a local grocery store and came out spending over $176. She says the food she purchased will only last her a few days.
Some of the items are eligible for coupons and discounts if the customer uses a savings card, like the cherries. But the discount would still just drop the price down to $4.99 per pound.
Tong’s office later said as of now, the state statute only allows investigations into price gouging during a declared emergency. Doing away with that distinction would only happen if the state legislature decides to vote for it.
It would allow investigations of potential price gouging as a result of abnormal price spikes.
Tong also wants the authority to investigate price gouging across the grocer supply chain, from retailers to vendors. He referred to New York State Attorney General Letitia James, whose office was part of a multi-state investigation over price gouging from egg producers during the pandemic.
Tong said he faced resistance from retailers and questioned why at a press conference.
“If there's nothing to hide, then don't worry about it,” Tong said. “But let's have a real look under the hood at what's going on so we can understand why Connecticut consumers are not just paying more, but paying so much so quickly.”
Wayne Pesce, president of the Connecticut Food Association, says grocers are just getting by. He noted a recent Federal Trade Commission report, which revealed grocers and vendors enjoyed higher profits even after the worst of the lockdowns, didn't name any Connecticut-based grocers.
“In the food retail business, profit margins have always been extremely tight, just 1.6% last year," Pesce said. "We chase pennies and nickels every day, and in a densely populated state like ours, consumers have no shortage of options for grocery shopping."
Pesce said outside factors, like disease outbreaks and drought, are impacting prices as well. Pesce noted the weekly average cost for a family of four is around $165 in February.
Stop and Shop and ShopRite two of the largest grocers in the region, declined to comment.
