While working families and small businesses across New York are struggling to keep up with rising costs, state lawmakers are set to send a bill to Gov. Kathy Hochul that will make groceries even more expensive. Throughout the legislative session, Hochul championed measures to make life more affordable. Taking her veto pen to this proposal will be the right move at the right time for New York families, and is consistent with the governor’s affordability goals.
The so-called Food Safety and Chemical Disclosure Act, A1556-G, will reduce the types of products available on supermarket shelves and raise costs for every family in the Empire State. A difficult economy and poor policy decisions have already driven up the cost of living in New York by more than 5% over the past year, forcing many families to make tough choices as they struggle to afford basic necessities. If this legislation is enacted, new pressures will be added to the supply chain, increasing food prices by an additional 6% — and adding $620 to annual household spending.
New York families are already strapped
An independent analysis found that this proposal will also limit cheaper options. Common, safe ingredients are added to many food products to keep production costs low and extend shelf life. By barring these items from sale, families are forced to switch to more expensive alternatives that tend to expire more quickly. The result is more frequent trips to the grocery store, and more money spent per trip.
Rather than relying on the science-based regulatory framework established by the U.S. Food and Drug Administration, New York lawmakers want to impose new standards on ingredients with the Generally Recognized as Safe designation. This unnecessary approach will hike prices and cause confusion among producers, retailers and consumers.
This policy will not only affect companies that are forced to remove their products from shelves. Remaining merchandise prices will jump due to the rigorous compliance costs imposed on manufacturers. Despite years of existing evidence, producers will be forced to jump through new hoops and over new hurdles to demonstrate that their products are safe for consumption. Some companies will be forced to switch to more expensive ingredients to keep their products on New York shelves.
Companies with a national footprint may determine that it is more cost-effective to stop selling products in New York rather than tailor their ingredients to Albany’s unique standards. Trusted brands that offer high-quality products for affordable prices will disappear from the shelves, forcing families to pivot to more expensive options.
The resulting costs are not simply absorbed by the manufacturers. They will be transferred to New Yorkers through higher grocery prices and fewer familiar products. Small businesses and independent retailers are especially vulnerable. Unlike large manufacturers, mom-and-pop shops have no control over how their products are made. Yet, they will pay higher costs to receive fewer products from suppliers.
By adding redundant layers of bureaucracy, lawmakers are not only increasing costs for consumers at the register, they’re increasing the burden on taxpayer-funded government programs. If signed into law, this bill will drain an additional $60 million annually to maintain current school meal and WIC spending. If state agencies are unable to continue funding food assistance programs at their current levels, many recipients will lose benefits at a time when grocery prices are already rising. Additional staff would also be needed to review and approve compliance paperwork, further straining New York’s ballooning budget.
Hochul must veto NY’s Food Safety and Chemical Disclosure Act
Existing standards have enabled New Yorkers to access safe, affordable products for decades, while providing consistent frameworks that allow manufacturers and retailers to operate nationwide. But implementing New York-specific restrictions will disrupt the supply chain, deter businesses from operating here and make one of the least affordable places in the country even less attractive for both residents and industries.
Strong food safety regulations should promote greater certainty and uniformity for producers, while keeping costs affordable for hardworking New York families and retailers. Challenging well-established, well-researched standards will not make groceries more budget-friendly, nor will it have a meaningful impact on food safety. To help lower household costs and support small businesses across New York, Hochul must veto the Food Safety and Chemical Disclosure Act.
Mike Durant is president and chief executive officer at the Food Industry Alliance of New York State.
This article originally appeared on Rockland/Westchester Journal News: New Yorkers need affordable groceries, not more bureaucracy | Opinion
Reporting by Mike Durant, Special to the USA TODAY Network / Rockland/Westchester Journal News
USA TODAY Network via Reuters Connect
By Mike Durant, Special to the USA TODAY Network | USA TODAY Network
