Food industry fires back at Kamala Harris’ price control plans after VP blamed corporate greed for soaring costs
Food companies responded that the costs of labor and raw materials have soared due to high inflation — necessitating price hikes. They also said they need to maintain healthy profit margins to keep developing new products. Some economists say that attempts to rein in price gouging could effectively be a tool to control prices, which could have unintended consequences.
Grocery prices were 27% higher in July than they were during the same month in 2019 — a year before the coronavirus pandemic upended supply chains and wreaked havoc in the market. Her opponent, former President Donald Trump, blasted the proposal, calling it a “Soviet style” policy that would cause even higher inflation.