Amazon announced Wednesday the launch of Amazon Grocery, a new private-label brand that merges popular items from Amazon Fresh and Happy Belly into one “grocery essentials” collection.

The retail giant’s new brand features more than 1,000 grocery items, ranging from milk and olive oil to produce, meat and seafood, with most products priced under $5. The launch comes “during a time when consumers are particularly price-conscious,” according to Jason Buechel, vice president of Amazon Worldwide Grocery Stores and CEO of Whole Foods Market.

“With Amazon Grocery, we’re simplifying how customers discover and shop our extensive private label food selection while maintaining the quality and value our customers expect and deserve,” Buechel said in a statement.

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Amazon announced Wednesday the launch of Amazon Grocery, a new private-label brand that merges popular items from Amazon Fresh and Happy Belly into one streamlined collection. (Amazon)

The selection spans grocery categories, from cage-free eggs and pre-sliced bagels to shredded Parmesan, baby carrots and ground beef, with most products having earned ratings of 4 stars or higher by shoppers, according to an announcement from the company.

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To kick off the launch, Amazon is also introducing new options such as fresh-baked cinnamon rolls, refrigerated pizza dough and bottled spring water, with additional options like frozen pasta meals, pie fillings, granola and more frozen vegetables expected in the months ahead, the announcement noted.

Amazon signage during the 2024 CES event in Las Vegas, Nevada, US, on Wednesday, Jan. 10, 2024.  (Bridget Bennett/Bloomberg via Getty Images / Getty Images)

The new brand’s packaging, which reduces plastic usage, sports a “modern” and “clean” design with bold lettering, according to the company.

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In 2024, sales from Amazon’s private-label brands climbed 15% from the previous year, spanning categories from groceries and household goods to clothing. 

A general view of the exterior of the UK’s first branch of Amazon Fresh, on March 04, 2021, in the Ealing area of London, England.  (Leon Neal/Getty Images / Getty Images)

Amazon Grocery products are now available nationwide through Amazon.com and Amazon Fresh, online and in stores. Availability may vary by location.

The news follows a week after the Federal Trade Commission (FTC) announced that Amazon had agreed to pay $2.5 billion to settle a lawsuit alleging it misled customers into paying for Prime subscriptions.

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Amazon did not immediately respond to FOX Business’ request for comment.