The National Grocers Association is urging New Jersey Gov. Mikie Sherrill to make “targeted, common-sense changes” to the Fair Price Protection Act (A4085) before signing it into law.
In a July 17 letter to Sherrill, NGA outlined revisions it says would preserve the bill’s consumer transparency goals while avoiding unintended consequences for independent grocers. The association recommended clarifying provisions on discounts and promotions, improving transparency around delivery fees and pricing disclosures, and removing the bill’s one-year moratorium on electronic shelf labels (ESLs).
“NGA supports policies that promote transparency and fairness in grocery pricing,” the letter said. “However, as currently drafted, A4085 would create significant unintended consequences for independent grocery retailers and ultimately make it more difficult to keep food affordable for New Jersey families.”
The New Jersey Legislature passed the bill June 30, and it now awaits action from Sherrill. NGA said it opposes the bill in its current form unless lawmakers make the requested changes.
“This legislation seeks to address practices that simply do not reflect how independent grocers operate,” said Macy Lemon, NGA’s VP of state government affairs. “Independent grocers do not use algorithmic or surge pricing to raise prices. They rely on traditional cost-based pricing, competitive promotions, loyalty programs and markdowns to deliver value and help customers stretch their grocery budgets.”
Lemon added that the bill also would restrict technologies that improve pricing accuracy, reduce labor costs, minimize food waste and let grocers respond quickly with discounts, noting that ESLs are tools for efficiency and affordability rather than surge pricing.
Washington, D.C.-based NGA represents retail and wholesale community grocers that make up the independent sector of the food distribution industry, a sector that generates more than $557.5 billion in annual economic activity.