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STORY: It's the U.S. government versus two grocery store giants, as the trial to block the $25 million merger between Kroger and rival Albertsons kicked off in federal court on Monday.

The U.S. Federal Trade Commission and several states have sued the grocers on the grounds that the proposed deal would eliminate competition, resulting in higher prices for shoppers and less bargaining power for unionized grocery workers.

Kroger and Albertsons argue that the merger is necessary in order to compete with the likes of Walmart, the largest grocery retailer in the U.S., as well as Costco and Amazon, which owns Whole Foods.

Its a high-profile case for the Biden administration as it looks to lower prices for consumers.

Higher grocery bills are also an issue in the presidential race between Democratic Vice President Kamala Harris and her Republican rival, former President Donald Trump.

The trial is also a key test of FTC Chair Lina Khan's initiative to use antitrust law to boost wages and mobility for workers.

Labor has been an area of focus for Khan, a former law professor and congressional antitrust counsel, who took the reins of the agency in mid-2021.

Kroger, for its part, has said it will sell about one-tenth of the approximately 5,000 stores it would own if the deal is allowed to go through.

The grocer has also pledged to slash prices at stores by $1 billion after the merger.

The trial is expected to last around three weeks.