Experts are pointing to concerns linked to Alaska’s already fragile supply chain, as well another grocery merger in Alaska in 1999 that resulted in store closures.
to commission Chair Lina Kahn that food price increases they say will result from the merger would be “devastating” and “most acute” in Alaska, where “food costs are already well above the national average due to high transportation costs.”“There is extensive peer-reviewed data about the anti-competitive, inflationary impacts of reduced competition,” the lawmakers wrote.
A spokesman with Fred Meyer this week declined to comment. Representatives with Carrs Safeway could not be reached for comment.The companies anticipate spinning off 100 to 375 stores to create a “new, agile competitor” to address regulatory concerns about competition. But many fear that the combination of Albertsons and Kroger will create a giant with such dominant buying power that any new competitors can’t survive, he said.have not indicated how this will work, so it’s possible that the plan provides competition that’s as meaningful as it is today,” Ross said. “But if not, the FTC will disapprove the merger and I think a federal court would be inclined to disapprove it too.
“The question is how could a competitor put that together and compete against a Carrs Fred Meyer juggernaut,” he said.Graham Downey, consumer advocate with Alaska Public Interest Research Group, said he shops at the Fred Meyer and Carrs Safeway stores in Midtown Anchorage. They’re just a hop across Seward Highway from each other, and they often sell food made by different manufacturers.
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