The National Grocers Association has issued a statement in response to a Federal Trade Commission complaint that alleges preferential pricing and promotional treatment for Walmart.
The complaint, part of an FTC enforcement action filed in January, was unsealed Dec. 12 by a judge in response to a request by the Institute for Local Self-Reliance, an antimonopoly advocacy group.
“The unsealed Federal Trade Commission complaint alleging preferential pricing and promotional treatment for Walmart highlights concerns among independent community grocers about anticompetitive practices in the marketplace,” NGA said in a statement.
The association maintains that when large national chain retailers receive discounts, allowances or services that are not offered to competitors on equal terms, it places Main Street businesses at a structural disadvantage.
“The Robinson-Patman Act was designed to promote fair competition by preventing price discrimination that harms smaller retailers, and it is a vital tool that has been recognized on a bipartisan basis by FTC commissioners to protect competition and fair markets,” the association stated.
NGA emphasized that independent grocers are not asking for special treatment but rather a level playing field, which supports local jobs, strengthens competition and ensures consumers continue to have choice and value at the grocery store.
“NGA calls on the FTC to enforce the Robinson-Patman Act against the power buyers who violate the law by undercutting the competition by forcing their competitors and American consumers to pay higher prices for groceries,” the association said.
The FTC’s action represents enforcement of the Robinson-Patman Act, which prohibits anticompetitive price discrimination.
NGA is the national trade association representing the retail and wholesale community grocers that comprise the independent sector of the food distribution industry. An independent retailer is a food retail company operating a variety of formats.
The independent grocery sector is accountable for about 1.2 percent of the nation’s overall economy and is responsible for generating more than $250 billion in sales, 1.1 million jobs, $39 billion in wages and $36 billion in taxes.
NGA members include retail and wholesale grocers located in every congressional district across the country as well as state grocers’ associations, manufacturers and service suppliers.
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