A viral video showcasing the dire state of a city-owned grocery store in Missouri has fueled skepticism about a similar proposal in New York City.
The proposal by mayoral candidate Zohran Mamdani to establish publicly funded markets across New York City has drawn fresh scrutiny following the failure of a similar venture in Missouri, as the New York Post reports.
Mamdani, after securing the Democratic Party nomination for NYC mayor, announced plans to open city-owned grocery stores as part of his affordability platform. These stores aim to reduce consumer costs and support local producers.
A city-owned grocery store in Missouri, featured in a viral video, displayed almost barren shelves and was plagued by a foul odor. Despite being funded by millions in taxpayer money since 2018, the store has failed to maintain basic stock levels.
This situation was extensively covered by local news channel KSHB 41, which highlighted the community's frustration with the initiative. An interviewee expressed their dismay by commenting, "I can tell you today right now it’s damn near dead."
The failure in Missouri is now a case study for critics who fear NYC might face similar outcomes if Mamdani's plan goes ahead.
Mamdani's vision involves launching a non-profit, tax-exempt pilot of five grocery stores in NYC, with an allocated budget of $65 million. These markets are intended to partner with small businesses and farms, offering goods at reduced prices.
Opposition has emerged from several quarters, including grocery store magnates like billionaire John Catsimatidis. He predicted that such a model could force his Gristedes stores to shut down, claiming, "We can’t compete with Mamdani opening city-run supermarkets for free."
Moreover, concerns are also voiced by New Yorkers wary of the "Soviet-style" grocery setup, reflecting apprehensions about the efficacy and management of public markets.
Mamdani has attempted to address these concerns by citing historical examples of public markets in NYC that have been operational since the 1930s under Mayor Fiorello La Guardia’s administration. According to Nevin Cohen, these markets still serve neighborhood needs effectively without undermining local businesses.
Mamdani himself sees this project as a chance for "reasonable policy experimentation," saying on a podcast, "And if they work, they work. And if they don’t work, c’est la vie, then the idea was wrong." This reflects his openness to trial and learning.
Experts like Brittain Ladd and Nevin Cohen endorse the idea but caution that success hinges on professional management and possibly adopting a public-private partnership model.
While the initiatives draw criticism, some believe there is merit to Mamdani's idea if implemented correctly. Ladd elaborated on a potential approach: "These would be very specialized grocery stores... to really just provide the things that people need the most."
Despite the uncertainty, the debate continues over whether NYC should venture into public ownership of grocery stores, reflecting broader concerns over public sector involvement in markets traditionally dominated by private enterprises.
The outcome of Mamdani’s proposal may hinge not only on its conceptual strength but also on the city's ability to execute and manage it efficiently, learning from precedents such as Missouri's failure.