Democratic lawmakers are calling for the Federal Trade Commission (FTC) to scrutinize Sysco’s proposed acquisition of Jetro Restaurant Depot. The deal, valued at $29.1 billion, has raised concerns among independent restaurant owners and critics.
Since March, when Sysco announced its intentions, opponents have voiced worries over potential negative impacts. Key concerns include possible price hikes, reduced product selection, and an increase in restaurant closures.
Critics argue that the acquisition may consolidate market power excessively, limiting competition and disadvantaging smaller, independent restaurants. These establishments rely heavily on competitive pricing and diverse product offerings from suppliers to thrive.
Lawmakers are pressing for a comprehensive investigation to evaluate the possible ramifications of such a merger on the restaurant industry and wider market conditions.