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Midwest grocery chain Hy-Vee won't expand to Texas over H-E-B competition, report says

While the chain is expanding south, it will not be messing with Texas or its beloved grocer, H-E-B.

SAN ANTONIO — In South and Central Texas, there's one grocery chain that rules the land – H-E-B. And it seems other businesses are taking note.

According to a report from the San Antonio Business Journal, the Des Moines-based grocery chain Hy-Vee has been planning a multi-state expansion, but its CEO has made it clear that the company has no plans to go far south as Texas.

The CEO, Randy Edeker, made the announcement in a video to employees stating that while Hy-Vee is expanding into new states for the first time since 2009, it won't be moving to Texas anytime soon because of H-E-B's dominance.

"They’re [H-E-B] a phenomenal competitor," Edeker said. "There are lots of weak competitors out there that we just don’t need to go poke that bear, so we won’t."

Hy-Vee is said to be adding stores in Indiana, Tennessee, Alabama and Kentucky by 2023.

To read the full San Antonio Business Journal report, click here.

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