PATHMARK DEAL WITH AHOLD QUESTIONED

HEMPSTEAD, N.Y. -- The Consumers' Alliance for Supermarket Competition, a not-for-profit coalition said to be formed to ensure price competition in the New York-New Jersey marketing area, held a rally here last week to announce it is seeking to petition the Federal Trade Commission to block a proposed supermarket merger.

hokehold on the supermarket industry throughout the New York-New Jersey metro region. Unless there is an aggressive response, consumers will find supermarket competition has become a sham [and] arbitrary price increases will become the norm."

The alliance's effort has the support of the National Grocers Association, Reston, Va., whose president and chief executive officer, Thomas K. Zaucha, said the industry's trend toward consolidation "to a degree never before known in this country will, if allowed to continue, lead to higher food prices in markets these mega-companies control."

Ahold couldn't be immediately reached for comment.