A Maine state law regarding Milk pricing has forced Shaws to retract a promotion that would have given shoppers a free gallon of milk if they bought 6 gallons in a 2 month period.
Maine sets a minimum price for milk. The law is decades old, designed to prevent large retailers from offering milk from out of state as a loss leader, at prices that are below the cost of production for Maine dairy farms. The current minimum price is $3.55 a gallon for whole milk.
Giving away a gallon for every six purchased violates the law by dragging the average price below the minimum, Drake said.