When Safeway and Fry's started talking about merging, rural Arizona residents pushed back

In rural Arizona, resident are leery of grocery store mergers.
(Photo by Craig Smith, KGUN-ABC)

As Safeway and Fry's grocery store chains start discussing mergers, rural Arizona residents are concerned. "Rural opposition is coming together to a proposal to merge the Fry’s and Safeway grocery chains," reports Craig Smith of KGUN-ABC in Tuscon, Ariz. "The plan would have a nationwide impact because grocery brands in many states are part of the parent companies Kroger and Albertsons/Safeway."

Cochise County, pop. 125,500, over 6,219 sq. miles

(Wikipedia map)

Residents worry further corporate consolidation would inevitably close their neighborhood grocery store. "In a small town like Benson, you might only have a few places to go shopping for groceries. Skeptics about the merger say if it does close stores, people in Cochise County could have some long drives to get their groceries," Smith explains. Sierra Vista Mayor Clea McCaa "says with one Safeway and one Fry's, half of his city could become a food desert if the stores consolidate and one closes. He’s afraid of reduced competition, higher prices, and reduced access to other critical services like pharmacies."

The town of Douglas, which is also in Cochise Country, has already lost one grocery store. "Last year, Food City shut down. That left Douglas with a Walmart as its only large grocery," Smith adds. "Douglas Mayor Donald Huish says that costs people in his town time, trouble and money. Congressman Ruben Gallego is teaming up with rural mayors to send a letter to the Federal Trade Commission urging the FTC to reject the merger. Congressman Gallego says the merger could hurt small-town businesses too if customers drive out of town for their groceries and decide to do other shopping there too."

"Kroger is the company leading this merger effort," Smith reports. "Responding to the latest concerns, Kroger sent this: 'Kroger joining with Albertsons will mean lower prices and more choices for more customers in more communities, higher wages and more industry-leading benefits for associates, and growing union jobs. The only parties who would benefit if this merger is not completed are large, non-unionized competitors such as Walmart and Amazon.'”