New York (CNN) 鈥� Kroger and other chains say customers on food assistance programs like SNAP are struggling as.
鈥淏udget-conscious households are buying fewer items, particularly as SNAP benefits declined during the quarter,鈥� said Kroger CEO Rodney McMullen on an earnings call Thursday. 鈥淚n some cases, we see these households switching to lower-priced products and smaller pack sizes.鈥�
鈥淭here鈥檚 a significant reduction in SNAP dollars in the marketplace,鈥� he said. Customers are 鈥渕aking significant modifications鈥� such as buying a four-pack of an item instead of a 12-pack.
In March, an estimated 16 million households receiving SNAP (Supplemental Nutrition Assistance Program) benefits in 32 states and Washington, DC, saw their , according to estimates from the Center on Budget and Policy Priorities, a left-leaning research and policy institute.
The decrease came with the end of a COVID emergency policy that increased SNAP benefits to the maximum level for every recipient. In 18 states, the additional benefits had already expired.
Dollar General, Dollar Tree , Walmart and other chains have also said recently that customers on food stamps are struggling most.
Dollar General CEO Jeffrey Owen said this month that , 鈥渨hich exacerbated the inflationary pressures they were already experiencing.鈥�
鈥淯nfortunately, our customers are saying they鈥檙e having to rely more on food banks, savings, credit cards,鈥� Owen said.
after dipping in March and April, according to the latest data.
Rising prices at the supermarket are unwelcome news to people struggling to pay for food.
From April to May, adjusted for seasonal swings, grocery prices got 0.1% more expensive, according to the Bureau of Labor Statistics鈥� Consumer Price Index, a key measure of inflation. Menu items prices grew 0.5% in that time.
Overall, grocery prices were 5.8% more expensive in May than they were a year ago.
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