Report Links Grocery Prices to Corporate Consolidation
Minnesota Farmers Union Foundation's October 2026 report points to surveillance pricing and concentrated food processing as drivers of higher costs.
Updated on Nov. 11, 2026 in Organic Food
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The Minnesota Farmers Union Foundation published 'The Secret Behind High Grocery Prices' in October 2026, examining surveillance pricing, price discrimination and price fixing. The report says grocery prices in the Minneapolis-St. Paul-Bloomington metro area are up more than 34% since 2020.
Why it matters
The report argues that tariffs and the war in Iran do not fully explain grocery price increases, pointing instead to market structure. Farmers Union's top 2027 legislative goal is a ban on surveillance pricing in retail.
Four companies control 54% of poultry processing, 66% of pork packing and 85% of beef packing, according to the report. A 2025 investigation found Instacart prices at a St. Paul Target ranged from $81.24 to $86.78 for the same basket, though the extraction does not explain the cause of that variation.
The players
Minnesota Farmers Union Foundation
The Minnesota Farmers Union Foundation is the research and advocacy arm of the Minnesota Farmers Union, an agricultural advocacy organization representing family farmers in the state.
PepsiCo
PepsiCo is a multinational food and beverage company whose 2025 revenue included about 14% from Walmart, and which was the subject of an FTC complaint dismissed in May 2025.
Agri Stats
Agri Stats is a meat industry data analytics company that was sued in 2023 by the U.S. Department of Justice and several states, and reached a settlement in May 2026.
The details
The report examines surveillance pricing, which uses shoppers' personal data to set individual prices, along with price discrimination and price fixing. It notes the FTC dismissed its 2025 complaint against PepsiCo in May 2025, and that a settlement with Agri Stats in a 2023 suit brought by the U.S. Department of Justice and several states was reached in May 2026.
Timeline
2020: Start of the 34% metro grocery price increase measurement period.
May 2025: FTC dismissed its complaint against PepsiCo.
2025: Instacart pricing investigation at a St. Paul Target.
May 2026: Settlement reached with Agri Stats.
October 2026: Farmers Union Foundation report published.
Legal Context
The report's advocacy aligns with the Consumer Grocery Pricing Fairness Act, which would require suppliers to offer all grocery retailers the same terms. The 2023 Agri Stats litigation and its 2026 settlement form the enforcement backdrop for concerns about concentrated meat processing.
Shoppers may face individualized prices based on personal data if surveillance pricing spreads in retail. The report's policy proposals would affect how grocery suppliers set terms with retailers, though no changes are yet in effect.
The takeaway
Grocery costs reflect not only production and tariffs but also how a few large firms control processing and pricing. Shoppers can watch for policy changes on surveillance pricing as the 2027 legislative session approaches.
Further reading
For broader context on how food production choices shape prices, explore Organic Food coverage.
Source note: This article includes information reported by Agweek.
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