How produce got Kroger to walk back its new 90-day policy

Produce industry organizations commended suppliers July 9 for coming together to protest the new 90-day payment policy Kroger intended to implement across its business.

Kroger had the produce industry concerned when it announced new 90-day payment terms for all segments of the business.
Kroger had the produce industry concerned when it announced new 90-day payment terms for all segments of the business.
(Pamela Riemenschneider)

Produce industry organizations commended suppliers July 9 for coming together to protest the new 90-day payment policy Kroger intended to implement across its business.

The move would have forced complying produce suppliers to forfeit PACA protection unless they agreed to give Kroger a discount in order to get paid more quickly.

What follows is a look at how industry response unfolded after the announcement by Kroger. According to Western Growers, in late June the retailer had already begun implementing the new plan, giving the names of produce suppliers to a third-party to set up the discount required for early payment.

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