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Committee lays over grocery price fairness bill after split testimony from grocers and suppliers

2783767 · March 26, 2025
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Summary

House File 2,149, a proposal to limit discriminatory pricing by dominant grocery retailers and increase transparency for independent grocers, drew strong testimony both for and against. The committee adopted a minor A1 correction and laid the bill over for further work.

Representatives Grama and Schultz presented House File 2,149, the Consumer Grocery Pricing Fairness Act, which sponsors described as a measure to protect independent and local grocers from discriminatory pricing by dominant national retailers.

Chris Jones, head of government relations at the National Grocers Association, said concentrated market power has allowed a few national chains to obtain preferential terms from suppliers that independent stores cannot access. “These companies have grown so large that they can dictate terms to suppliers and agriculture producers, leaving independent grocers to pay higher wholesale prices,” Chris Jones said, arguing the bill would protect competition and preserve local stores in underserved areas.

Opponents urged caution. Michelle Benson of the Minnesota Chamber of Commerce said existing federal and state antitrust laws aim to protect competition rather than competitors, and warned that forcing disclosure of contract terms could reduce product and price competition. Tim Wilkins of the Minnesota Beverage Association and Bruce Newstead of Minnesota Retailers similarly warned the proposal could increase legal complexity, lead to unintended price convergence, and make Minnesota an outlier with untested legal exposure.

The committee heard testimony from a range of retailers, independent grocers and producer advocates. Jessica Roloff of the Minnesota Farmers Union described local co‑op challenges obtaining fair wholesale access and said some small retailers receive wholesale prices 27%–97% higher than big box shelf prices. Testimony from the Minnesota Grocers Association urged a measured approach and more stakeholder input.

The committee adopted an A1 amendment described as typographical corrections and laid the bill over for further discussion. Members flagged areas for refinement, including definitions of a dominant retailer, geographic scope and whether the attorney general should have standalone enforcement authority versus private parties bringing suit. No enforcement action was taken today.