Texas Food Labeling Law Could Add Billions in Consumer Costs

A new analysis commissioned by the Corn Refiners Association warns that recently enacted food labeling legislation in Texas could significantly raise grocery bills for households across Texas.

According to the report, which was prepared by Policy Navigation Group, out-of-pocket expenses for Texas consumers could climb by as much as $2,200 per household. The study estimates that incremental social costs could total $64 billion statewide, averaging more than $7,200 per household.

The Texas law, passed by the legislature and signed into law in 2025, establishes labeling requirements for specific ingredients commonly used in food manufacturing. Critics argue that implementing state-specific labeling rules will disrupt supply chains, increase compliance costs for producers, and ultimately burden consumers with higher grocery prices.

Corn Refiners Association President and CEO John Bode urged federal officials to weigh the potential consequences. "Everyone feels the impact of higher food prices, and any policy changes that will lead to higher grocery costs should be closely examined to avoid any unintended consequences," he warned.

Bode also called on the Department of Justice to extend its comment period on state laws affecting interstate commerce, noting that more time would allow for a fuller economic analysis of the Texas legislation.

The association maintains that consumer costs should not be increased without clear evidence that benefits outweigh the economic trade-offs.