Sometimes there are advantages to being small. Connecticut’s small geographic size, for instance, means there are not too many food deserts, according to Wayne Pesce, president of the Connecticut Food Association.
Though there is some disagreement about what constitutes a food desert, it is basically a low-income geographic area where a significant number of people have little to no access to nutritious, affordable food, such as fresh fruits and vegetables.
While access is not as major a problem in Connecticut as in some states, the affordability piece is, he said.
“Wages have not kept pace with the cumulative impact of inflation. Families are facing higher costs across the board for food, fuel, housing, utilities and insurance, which is forcing difficult trade-offs at the grocery store,” Pesce said.
“In this environment, even modest price increases have an outsized impact on household budgets, changing purchasing patterns and stretching already limited discretionary income.”
While most of the state’s residents may have access to food, they may not be able to afford enough of it to not be classified as food insecure.
A press release from Gov. Ned Lamont’s office cited recent data revealing that one in 10 Connecticut residents struggle with food insecurity, and more than 400,000 residents, including 100,000 children, lack consistent access to nutritious meals.
Pesce noted that the state has taken steps to address food insecurity, including targeted investments in local agriculture and school nutrition programs.
On the agricultural front, Lamont announced in February that his administration was making $1.55 million in state funding available to support the Connecticut Department of Agriculture’s Local Food Purchase and Assistance Grant program. The funding helps continue a program previously supported by federal dollars.
The goal is to increase access to locally grown farm products – fresh produce, dairy, meats, etc. – for distribution to food-insecure populations while also supporting Connecticut farmers and the state’s overall agricultural economy.
Eligible entities include food hubs, food pantries, municipalities, community health centers, nonprofit organizations and others committed to food access. Grant amounts range from $100,000 to $301,000. The application period closed in late March.
“Federal funding pressures and benefit reductions are being felt most acutely by vulnerable populations, increasing demand on both retailers and community partners,” Pesce said.
Ongoing volatility
While inflation had been on a cooling trend, a combination of factors suggests food prices are likely to remain elevated into 2026, with ongoing volatility rather than relief for shoppers, he said, citing the February consumer price index that showed that inflation is not falling and remains elevated.
Prices rose 0.3 percent month over month and 2.4 percent year over year, with food prices up about 3.1 percent annually, signaling continued pressure on household grocery budgets.
Meanwhile, upstream costs are rising faster, Pesce noted. Important inputs like fertilizer and energy continue to be unpredictable, and wholesale food inflation (PPI) increased by 0.7 percent in February and 3.4 percent year over year, the biggest annual jump in a year, “indicating more pressure on food prices in the coming months,” he said.
Category volatility also has been steep.
“We have seen vegetable prices jump as much as 49 percent and fruit prices 10 percent at the wholesale level in just one month, highlighting how quickly supply disruptions can lead to higher costs.”
Adding to the inflation risk is the conflict in Iran, he said. Oil prices have surged to more than $100 per barrel, thus gasoline prices are rising. Economists estimate that every $10 increase in oil prices adds about 0.2 percent to inflation.
“This directly impacts food production, packaging and transportation costs,” he said. “Layer on top of that a disjointed tariff environment, SNAP uncertainty and ongoing labor challenges linked to immigration enforcement, and the result is continued pressure on retailers’ margins and higher prices for consumers.”
Legislative battles
In the 2026 legislative session, several proposals raise serious concerns for the food industry and Connecticut consumers, according to Pesce.
- B 4 builds on the state’s 2023 data privacy law but includes problematic language around electronic shelf labels and facial recognition that does not reflect how modern grocery stores change prices or protect assets.
- B 438 would impose front-end staffing ratios and cap the number of self-checkout stations. This will disrupt store operations and lead to higher food prices.
- HB 5377, the proposed beverage tax, would divert millions from consumer spending, cost jobs and further increase prices in a state that has some of the highest soft drink prices in the country.
“At a time when policymakers say they are focused on affordability, these proposals would move costs in the wrong direction for Connecticut families,” he said.
But there is a bright spot. He said HB 5563 has been moved out of the Judiciary Committee. The measure updates Connecticut’s organized retail crime laws, which he calls “an important step in protecting workers, customers and store operations.”
CFA was instrumental in helping get the ORC legislation moved along, Pesce indicated. “Whether it is advocating against policies that increase costs, advancing solutions like organized retail crime reform or strengthening connections between retailers and Connecticut agriculture, CFA’s focus is clear: protecting affordability, supporting businesses and ensuring consumers continue to have access to safe, reliable and competitively priced food.”
CFA represents food retailers, wholesalers, suppliers and manufacturers across the state, serving as a unified voice on public policy, affordability and food access, he added.
“We work closely with policymakers, community organizations and industry partners to ensure that decisions are grounded in how the food system actually operates.
“At a time of economic pressure and policy uncertainty, that collaboration has never been more important.”
Population losses but also gains
The high cost of living is driving residents to seek less expensive places to live, primarily southward and westward, Pesce said.
In the most recent year, Connecticut lost about 6,000 residents, compared with roughly 30,000 in Massachusetts and about 137,000 in New York, he added.
But Connecticut has been able to see population growth thanks to international migration. More than 30,000 residents have been added, “which masks steady domestic outmigration,” he said, adding that Massachusetts and New York are adding population that way as well, just on a larger scale.
However, Connecticut is facing slow labor force growth and ongoing workforce constraints, which continue to impact hiring across the grocery sector and supply chain, Pesce said.
“These pressures are being felt across stores, distribution networks and logistics operations, making it more difficult to maintain staffing levels and consistent service while meeting growing consumer demand.”
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