A Louisiana supermarket was forced to yank its low-cost milk special after state auditors objected to the price.
Fresh Markets in Perkins Rowe was selling milk for $2.99 a gallon as part of a weekly promotion deal, but Louisiana requires that retailer markups be at least 6 percent above invoice and shipping costs, The Advocate reports.
State Agriculture and Forestry Commissioner Mike Strain said Fresh Market violated state regulations by selling milk below cost as part of a promotion.
The supermarket routinely sells a gallon of skim, 1 percent, 2 percent or whole milk for $2.99 on Tuesdays, limiting the quantity to four per customer, according to The Advocate.
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Louisiana Milk Police Combat Prices That Are Too Reasonable
In Louisiana, it is illegal to sell milk for too much. It’s also illegal to sell milk for too little. It’s all a bit complicated, so producers are eligible for a milk subsidy.
Last week, state regulators cracked down on a grocery store that was engaging in a “disruptive trade practice,” selling milk at a price that could “injure, reduce, prevent, or destroy competition.”