Warren Warns Giant Food and Grocery Mergers May Increase Costs, Harming American Families, Restaurants, and Small Businesses

Urges regulators to closely scrutinize mergers “These three mergers each have the potential to raise prices for Americans as they choose which restaurants to dine at, which supermarkets to shop at, and which brands to purchase. ” “The Trump Administration must not rubber stamp these mergers or let political considerations override the law.” Text of Letter (PDF) Washington, D.C. — U.S. Senator Elizabeth Warren (D-Mass.) raised concerns in a letter to the Department of Justice (DOJ) and Federal Trade Commission (FTC) about the potential consequences of three major proposed acquisitions that threaten to consolidate the food service and grocery markets and further drive up costs for struggling families, restaurants, and small businesses. Three major deals have been proposed in recent months: supermarket chain Kroger Co.’s (Kroger) acquisition of Giant Eagle, Inc. (Giant Eagle), food distributor Sysco’s acquisition of Jetro Restaurant Depot (Restaurant Depot), and food manufacturer McCormick & Company, Inc.’s (McCormick) acquisition of Unilever PLC’s (Unilever) food business. “In isolation, each of these mergers would raise competition concerns; together, they appear to reveal a growing consolidation trend, driven by weak antitrust enforcement under President Trump, that raises costs and hurts consumers, restaurants, and small businesses,” wrote the senator. In July 2026, Kroger, already the largest supermarket chain in the country, announced a $1.65 billion deal to merge with regional supermarket chain Giant Eagle. There is already considerable overlap between Kroger’s and Giant Eagle’s respective territories, generating serious concern that the acquisition will lead to reduced competition in local markets and higher grocery prices for consumers. In the restaurant wholesale market, the U.S.’s largest food distributor, Sysco, has proposed a massive $29.1 billion acquisition of Restaurant Depot, a major cash-and-carry foodservice supplier that largely serves independent restaurants. The senator raised concerns that the proposed merger could be particularly harmful to struggling independent restaurants and the consumers who eat there. Combining two major food distributors would leave restaurants with fewer alternatives for purchasing essential food and supplies, increasing their dependence on Sysco–Restaurant Depot and giving the combined company greater leverage over the prices and terms they face. This is not Sysco’s or Kroger’s first attempt at a proposed acquisition of a competitor that’s drawing antitrust scrutiny. In 2013, Sysco attempted to acquire US Foods in a deal that threatened to reduce competition in the foodservice distribution industry, which was ultimately abandoned following pressure from the FTC. The FTC also successfully blocked Kroger from acquiring Albertsons Companies, Inc. (Albertsons) in 2024. McCormick has proposed to buy the majority of Unilever’s food business, potentially creating a “$65 billion food goliath” with many everyday pantry brands under the control of one corporation. The deal threatens to reduce competition between suppliers for consumers’ grocery dollars and retailers’ shelf space across several overlapping or closely related pantry staples. The UK’s competition regulator has already announced plans to scrutinize the antitrust implications of the deal, as McCormick’s acquisition of Unilever’s food business could leave consumers with fewer choices and higher prices at the grocery-store checkout. “These three mergers each have the potential to raise prices for Americans as they choose which restaurants to dine at, which supermarkets to shop at, and which brands to purchase,” wrote the senator. Senator Warren warned that if the administration rubber stamps these mega mergers in the food and grocery industry, consumers will face higher prices and have fewer choices. “The DOJ and FTC must carefully scrutinize these food industry mergers and ensure that further corporate consolidation does not come at the expense of American consumers and their families,” the senator concluded. ###