Joe Biden condemns snack manufacturers for ‘shrinkflation exploitation’ | American economy

Joe Biden criticized food companies for “skimpflation” in a video released during the Super Bowl, accusing them of making products smaller while keeping prices the same. The US president referred to this as a “rip-off” and stated that the public is tired of being deceived. In the video, released on the official presidential account, he highlighted examples of products that have been reduced in size without a reduction in price, including Gatorade, Breyers ice-cream, Tostitos and Doritos crisps, and Oreo cookies.

The Super Bowl is a highly anticipated event in the US and attracts a large audience, making it a prime advertising opportunity for companies. Despite declining a television interview typically conducted with the president before the game, Biden’s video would have made uncomfortable viewing for some of the biggest food companies, including PepsiCo, Mondelēz, and Unilever. Although Biden did not directly name any products or companies, his criticism was clear.

In response to rising costs due to factors such as monetary policy in response to the pandemic and increased global energy prices due to Russia’s invasion of Ukraine, some companies are believed to be reducing product sizes and altering recipes to contain less expensive ingredients. This practice is known as “shrinkflation.”

PepsiCo, Mondelēz, and Unilever were approached for comment regarding Biden’s accusations of “shrinkflation,” but have not yet responded. It remains to be seen how these companies will address the issue and whether there will be any changes to their products in light of the president’s criticism.

By Editor

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