SNAP Crisis: Will Affect Walmart and Kroger

The United States government shutdown has now reached 31 days, marking it as the second-longest government shutdown in history. Economic difficulties have accumulated throughout October, and they are expected to worsen by November 1.

President Donald Trump's administration has decided not to utilize Extra Supplemental Nutrition Assistance Program (SNAP) funds after this date. This assistance program forms a cornerstone of America's social safety net, and any cuts can have broad implications not only for beneficiaries of this program but also for retailers and consumers nationwide.

According to 2023 data, approximately 12.3% of the country’s population, or 42 million people, rely on at least some food assistance (food stamps). Of these benefits, 83% go to households with young children, seniors, or individuals with disabilities. Juan Saro, a SNAP recipient, expressed that these benefits are “the lifeline that feeds us at the end of the month.”

This vital program has managed to continue mostly uninterrupted for a significant part of its existence — until now. SNAP has not been interrupted since it was initiated during the Great Depression.

Efforts are also underway to reverse this cut in SNAP funding. A coalition of 23 Democratic attorneys general and 3 Democratic governors has taken the Department of Agriculture's decisions to court, demanding the release of funds necessary to partially sustain the program.

So far, two federal judges have ruled that the Trump administration must allocate funds to sustain this program. Trump stated in a letter assessing the court ruling, “I do not want Americans to go hungry because radical Democrats refuse to do the right thing,” and noted that they are seeking a swift clarification from the court on how they can legally ensure SNAP’s funding.

It is worth noting that it is not clear how the loading cards that SNAP recipients use will be funded or whether they will go bankrupt alongside the ongoing legal appeals. Generally, SNAP benefits are expected to be loaded within a one- to two-week period.

In the meantime, 22 states have allocated emergency funds to either food banks or the program to enable their residents to receive assistance. This could help some families escape the worst-case scenario. However, millions of people in other states remain vulnerable. Experts believe the negative impacts will not be limited to SNAP recipients, but will also reflect on retailers and families that do not benefit from the program.

In this situation, if you or your loved ones rely on food stamps, you should consider alternatives for the upcoming weeks. Evaluate utilizing local state or municipal programs or reaching out to the nearest food bank. You may also want to consider community pantries and church dinners as options. If possible, consider stocking up on durable food items with your current funds.

If your family does not benefit from this program, you might want to consider increasing your food budget. It is hard to predict whether retailers will raise prices to compensate for lost income; however, in this case, you may need to be more careful with your food budget. Additionally, consider donating to a local food bank to contribute to your community. The SNAP crisis illustrates how interconnected our economy is - every supportive action matters.