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Forage Paves the Way for Retailers in Light of upcoming SNAP Changes

In a significant move aimed at aiding the retail sector, Forage, a fintech company dedicated to simplifying government assistance payments, has announced its commitment to help retailers navigate the new SNAP (Supplemental Nutrition Assistance Program) item eligibility requirements set to take effect on January 1, 2026. This change will impact twelve states, including Arkansas, Florida, and Texas, as they implement USDA-approved waivers restricting purchases of high-sugar items such as soda, candy, and energy drinks.

Understanding the New SNAP Changes

The goal behind these restrictions is to promote healthier eating habits among SNAP recipients as part of the Make America Healthy Again initiative launched by the U.S. Department of Health and Human Services. While the specific items deemed ineligible will vary by state, retailers must adapt rapidly to avoid penalties and provide seamless shopping experiences for consumers. Failure to comply with these regulations can lead to costly audits and fines.

Forage's Commitment to Compliance

Forage stands out as a beacon for retailers by assisting them in classifying items in alignment with each state’s waiver requirements. Their tailored approach aims to reduce classification errors and to safeguard retailers against penalties associated with ineligible SNAP purchases. “Our mission has always been to simplify the use of government benefits,” stated Ofek Lavian, co-founder and CEO of Forage. “With these new waivers, our partners are facing unprecedented complexity, and we are here to deliver clarity.”

Utilizing their advanced technical know-how and comprehensive policy insights, Forage is equipping retailers to view compliance not just as a regulatory obligation but as an opportunity to gain a competitive edge.

Preparing for GroceryShop 2025

As the GroceryShop 2025 conference approaches—taking place in Las Vegas—Forage’s leadership will be engaging with grocers, delivery platforms, and other stakeholders. Discussions will focus on how Forage’s expertise can assist partners in adapting to SNAP's evolving compliance landscape. With less than four months until the looming deadline, Forage is stepping up to ensure that their partners are well-prepared for the changes ahead, maintaining the integrity of the program and ensuring that 42 million Americans who rely on SNAP can continue accessing essential food benefits.

A Unique Role in the SNAP Landscape

Forage is not merely a payment processor. It is the only USDA-approved third-party payment processor that is committed to delivering exceptional software to retailers while providing comprehensive support during the USDA authorization processes. With its user-friendly direct-to-consumer app, Forage also aids SNAP recipients in maximizing the value of their benefits, ultimately enhancing the overall shopping experience.

In conclusion, as the retail sector braces itself for pivotal changes in SNAP eligibility requirements, Forage continues to lead by ensuring compliance, safeguarding program integrity, and advocating for the needs of retailers as well as the millions of Americans relying on these essential benefits.