A federal district court ruled that the USDA exceeded its legal authority when it approved waivers allowing five states to bar SNAP participants from purchasing foods like candy and soda. The judge found the restrictions violated existing law and USDA regulations, blocking the waivers from taking effect.
SNAP is one of the largest drivers of grocery purchasing in the U.S., and any changes to what's eligible have downstream effects on demand across the store — including produce. Efforts to restrict SNAP purchases to "healthier" categories have long been debated as a potential boost for fresh fruit and vegetable sales, but courts have now pushed back on that pathway.
The ruling doesn't end the policy debate — states and federal agencies may pursue new approaches — but it resets the legal landscape and signals that major SNAP eligibility changes face significant legal hurdles.