U.S. Sen. Tammy Baldwin (D-Wisconsin) walked through the shelves of pasta, olive oil, tinned fish and frozen pizzas at Fraboni's Italian deli in Monona on Thursday as part of her statewide tour assessing how President Donald Trump's tariffs and war in Iran are affecting small businesses.
In May, the owners of the third-generation family business said that tariffs and increased gas prices had caused the cost of fresh tomatoes to increase about 40%. That price hike included domestically grown tomatoes because tariffs that increased the cost of imported tomatoes pushed up demand for domestic tomatoes, while higher gas prices made even nearby crops more expensive to ship.
Store co-owner Bennett Fraboni added that his deli had done its best to avoid passing the increased cost of products on to its customers.
"We always hope that it's going to be a temporary increase, and that we can swallow it ourselves and not have to pass it on," Fraboni said.
The deli, which has operated in the Madison area since 1971, sells Italian grocery items and operates a popular sandwich counter. Fraboni said that as the economy has fluctuated over the past year, he's seen the two sides of the business move independently. When money is tight, he said, people are less likely to go out to eat, so sandwich counter sales slow but the sales of grocery items increase as people look to cook at home more.
Baldwin said that hearing these stories from businesses across the state is especially frustrating because U.S. economic struggles are "self-inflicted."
Traveling the state during the Senate recess, she has heard from small business owners about the challenges they are facing because of tariffs, trade wars and Trump's war of choice in Iran, she said. "In many ways, they describe a very chaotic environment — volatile — and recognize that a lot of these things that are causing challenges for our small businesses are choices that this administration has made."
Democrats across the country are pushing a message about "affordability" and highlighting voters' worries about high prices. While Congress doesn't usually have a simple policy solution for lowering the prices of household expenses, Baldwin said if Democrats take control they can immediately act to end Trump's tariffs and the Iran war.
"The type of policies that this president has engaged in are extremely harmful to the consumer and to our small businesses and to our farmers who are producing these products," Baldwin said.