NYC's Socialist Mayor Wants to Blow $70 Million on Government Grocery Stores — Because the Soviet Model Worked So Well

0
NYC's Socialist Mayor Wants to Blow $70 Million on Government Grocery Stores — Because the Soviet Model Worked So Well

Sarah Kang manages a CTown Supermarkets location in East Harlem. She's been watching New York City's new mayor lay out plans to open a government-run grocery store right in her neighborhood — one that will undercut her prices by 30% using taxpayer money. Her reaction, "Of course it will affect this store."

Zohran Mamdani, New York City's self-described Democratic Socialist mayor, announced plans to open five city-owned grocery stores — one in each borough — backed by $70 million in capital funding. The flagship location is slated for the Peninsula development in Hunts Point, Bronx, with a target opening at the end of 2027. A second store, a 9,000-square-foot operation at La Marqueta in East Harlem, is planned for 2029.

The stores will offer roughly 20 pantry staple items at 30% below retail prices. Mamdani's office claims this will save the average household $90 per month, or about $1,000 annually. The stores will not sell cigarettes, alcohol, lottery tickets, or prepared hot foods.

"Every week, New Yorkers walk into a grocery store hoping the prices haven't gone up again," Mamdani said. "A trip to the grocery store shouldn't spell dread for New Yorkers. That's why we are guaranteeing a 30% discount on the most common and most critical groceries for families across the five boroughs — including eggs, milk, chicken and fresh fruits and vegetables."

Here's what Mamdani didn't mention: there are already 45 existing grocery stores within a 35-minute walk of the planned East Harlem location alone. The city isn't filling a need. It's building a government-subsidized competitor to businesses that already exist, already employ people, and pay taxes.

Grocery store owners in the affected areas called the plan a "slap in the face" and pointed out the obvious — the city is "using our tax money to compete with us." The $70 million comes from taxpayers, a portion of whom own the very stores the city is about to undercut.

The math is brutal. The East Harlem location alone is estimated to cost around $30 million. For the full $70 million, the city could purchase over one million Costco memberships — immediately delivering savings to actual families without building a single government-run anything. But that would require believing the private sector can do things better than the government, which is not a belief system Socialists like Mamdani believe in.

This is exactly what happened in Chicago, where the city blew $14 million trying to keep grocery stores open — and they shut down anyway. Government-run retail has a perfect track record: it fails every single time, but it always costs a fortune first.

When the government tells you it can sell groceries better than grocers, check the expiration date on that promise. It's already past due.


Most Popular

Most Popular

No posts to display