City’s Grocery Stores to Offer 30% Discount on Food Prices

Could food prices really drop by 30%? This is the approach being taken by the five city-run grocery stores, as announced by Democratic Socialist Mayor Zoran Mamdani during a press conference on Monday.

“The five city-operated grocery stores will price this core set of products 30% below normal retail prices,” he stated.

Standing amidst shelves filled with produce in a Brooklyn warehouse, Mamdani highlighted the significant increase in food prices over the past few years, noting a 30% rise since 2019.

In response to this challenge, the mayor revealed that “a collection of essential items will be predictably 30% cheaper at all five city-operated grocery stores.” This discount will encompass fresh produce, meat, seafood, and about 20 other staples like cheese, milk, and bread. Prices, to minimize fluctuations, will be set once a month.

“Once a month, the five city-owned grocery stores will establish prices on this core set of products 30% below standard retail prices. There are no exceptions,” he added.

Mamdani has continuously committed, both during his campaign and after assuming office, to opening a store in each of the city’s five wards. The inaugural store is expected to open in the Bronx by the close of 2027, with the remaining locations, including one in East Harlem, slated to launch by the end of his four-year term.

They also won’t sell items like cigarettes, alcohol, lottery tickets, or hot food—products typically profitable for local convenience stores. This decision seems intended to address concerns that the new stores might hurt independent shops nearby.

“We understand that many revenue drivers for local bodegas and grocery stores keep them afloat. Competing for them is not our goal,” Mamdani remarked.

Critics like former Mayor Eric Adams have voiced strong opposition to this initiative. He argued that Mamdani’s plan could “destroy local warehouses, local shops, and local supermarkets that employ people” and insisted it wasn’t a sound decision.

John Catsimatidis, a grocery store executive and owner of Gristedes and D’Agostino Supermarkets, didn’t hold back either. In an op-ed, he projected that the mayor’s strategy could “collapse our food supply, kill private industry, and lead us towards the breadlines reminiscent of the former Soviet Union.”

Under the current proposal, the city would own the property and cover construction, rent, and property taxes. A private operator would collaborate with the city to handle day-to-day operations, managing supply chain activities, stocking, and customer service.

Currently, Mamdani’s administration is reaching out to private businesses to manage the stores, inviting qualified applicants with grocery management experience to join this city-led venture.