FTC Seeks Retailer Info in Supply Chain Investigation

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The FTC wants to know where the biggest hitches in the chain are occurring.

With the major shopping holidays over, there is a slightly less pressing need for fully stocked shelves in US retailers. As such, the Federal Trade Commission has decided to take the opportunity to dig deeper into the ongoing supply chain issue to determine not only its causes, but who is being affected the worst and where.

Today, the FTC sent out a formal order to multiple major retail chains including Kroger, Walmart, and Amazon, as well as major suppliers like Tyson and Heinz, “to turn over information to help study causes of empty shelves and sky-high prices.”

“Supply chain disruptions are upending the provision and delivery of a wide array of goods, ranging from computer chips and medicines to meat and lumber,” FTC Chair Lina M. Khan said in a statement.

From today, all companies cited will have 45 days to turn over the requested data to the FTC. As the FTC explained in their announcements, the companies will need to “detail the primary factors disrupting their ability to obtain, transport and distribute their products; the impact these disruptions are having in terms of delayed and canceled orders, increased costs and prices; the products, suppliers and inputs most affected; and the steps the companies are taking to alleviate disruptions; and how they allocate products among their stores when they are in short supply.”

The companies will also need to provide “internal documents regarding the supply chain disruptions, including strategies related to supply chains; pricing; marketing and promotions; costs, profit margins and sales volumes; selection of suppliers and brands; and market shares.”

The FTC is hoping that collecting and studying this information will determine “whether supply chain disruptions are leading to specific bottlenecks, shortages, anticompetitive practices, or contributing to rising consumer prices.”

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