<?xml version="1.0" encoding="UTF-8"?><edgarSubmission xmlns="http://www.sec.gov/edgar/ownership" xmlns:com="http://www.sec.gov/edgar/common">
  <headerData>
    <submissionType>144</submissionType>
    <filerInfo>
      <filer>
        <filerCredentials>
          <cik>0001193344</cik>
          <ccc>XXXXXXXX</ccc>
        </filerCredentials>
      </filer>
      <liveTestFlag>LIVE</liveTestFlag>


    </filerInfo>
  </headerData>
  <formData>
    <issuerInfo>
      <issuerCik>0000042888</issuerCik>
      <issuerName>GRACO INC</issuerName>
      <secFileNumber>001-09249</secFileNumber>
      <issuerAddress>
        <com:street1>88 11TH AVENUE NE</com:street1>
        <com:city>MINNEAPOLIS</com:city>
        <com:stateOrCountry>MN</com:stateOrCountry>
        <com:zipCode>55413-1894</com:zipCode>
      </issuerAddress>
      <issuerContactPhone>6126236000</issuerContactPhone>
      <nameOfPersonForWhoseAccountTheSecuritiesAreToBeSold>JOHNSON DALE D</nameOfPersonForWhoseAccountTheSecuritiesAreToBeSold>
      <relationshipsToIssuer>
        <relationshipToIssuer>Officer</relationshipToIssuer>
      </relationshipsToIssuer>
    </issuerInfo>
    <securitiesInformation>
      <securitiesClassTitle>Common</securitiesClassTitle>
      <brokerOrMarketmakerDetails>
        <name>Charles Schwab Corporation</name>
        <address>
          <com:street1>3000 Schwab Way</com:street1>
          <com:city>Westlake</com:city>
          <com:stateOrCountry>TX</com:stateOrCountry>
          <com:zipCode>76262</com:zipCode>
        </address>
      </brokerOrMarketmakerDetails>
      <noOfUnitsSold>5000</noOfUnitsSold>
      <aggregateMarketValue>399382.00</aggregateMarketValue>
      <noOfUnitsOutstanding>168340317</noOfUnitsOutstanding>
      <approxSaleDate>05/03/2023</approxSaleDate>
      <securitiesExchangeName>NYSE</securitiesExchangeName>
    </securitiesInformation>
    <securitiesToBeSold>
      <securitiesClassTitle>Common</securitiesClassTitle>
      <acquiredDate>05/04/2017</acquiredDate>
      <natureOfAcquisitionTransaction>Employee Stock Option Exercise</natureOfAcquisitionTransaction>
      <nameOfPersonfromWhomAcquired>Issuer</nameOfPersonfromWhomAcquired>
      <isGiftTransaction>N</isGiftTransaction>
      <amountOfSecuritiesAcquired>5000</amountOfSecuritiesAcquired>
      <paymentDate>05/04/2017</paymentDate>
      <natureOfPayment>Equity Compensation</natureOfPayment>
    </securitiesToBeSold>
    <nothingToReportFlagOnSecuritiesSoldInPast3Months>N</nothingToReportFlagOnSecuritiesSoldInPast3Months>
    <securitiesSoldInPast3Months>
      <sellerDetails>
        <name>Dale D Johnson</name>
        <address>
          <com:street1>917 Scenic Dr</com:street1>
          <com:city>Shoreview</com:city>
          <com:stateOrCountry>MN</com:stateOrCountry>
          <com:zipCode>55126</com:zipCode>
        </address>
      </sellerDetails>
      <securitiesClassTitle>Common</securitiesClassTitle>
      <saleDate>05/02/2023</saleDate>
      <amountOfSecuritiesSold>90210</amountOfSecuritiesSold>
      <grossProceeds>3516270.00</grossProceeds>
    </securitiesSoldInPast3Months>
    <remarks>144 filing late due to problem with Issuer's CCC number</remarks>
    <noticeSignature>
      <noticeDate>05/03/2023</noticeDate>
      <signature>Dale D Johnson</signature>
    </noticeSignature>
  </formData>
</edgarSubmission>
[{"type": "144", "sequence": "1", "filename": "primary_doc.xml", "secsgml_size_bytes": 3373}]
144
0001193344
XXXXXXXX
LIVE
0000042888
GRACO INC
001-09249
88 11TH AVENUE NE
MINNEAPOLIS
MN
55413-1894
6126236000
JOHNSON DALE D
Officer
Common
Charles Schwab Corporation
3000 Schwab Way
Westlake
TX
76262
5000
399382.00
168340317
05/03/2023
NYSE
Common
05/04/2017
Employee Stock Option Exercise
Issuer
N
5000
05/04/2017
Equity Compensation
N
Dale D Johnson
917 Scenic Dr
Shoreview
MN
55126
Common
05/02/2023
90210
3516270.00
144 filing late due to problem with Issuer's CCC number
05/03/2023
Dale D Johnson