CC: What are the challenges in sourcing
quality organic items?
DK: The biggest thing is making sure we
have a constant, consistent supply—that we
have enough products to support the warehouses. Supply is very tight, and a lot of people
are going after organic.
JL: The farmers have a really tough job
because they have to have really good growing
conditions. With organic crops, they don’t
have some of the tools that they would have
with conventional crops, so they have to make
sure they’ve got good weather and good everything for the crop to make it to delivery.
With certain produce, such as leafy
greens, it’s easier to grow organic because they
repopulate quickly. If there is a challenge, you
can go back and plant more, and you get a harvest fairly quickly.
In some products, such as blueberries, it
takes three years for an organic blueberry
plant to propagate and give off any fruit. And
it’s not until about the fifth year that the plant
is really producing a lot of fruit. So you’ve got
a long timeline in some of these crops to get
organic throughput.
The challenge with apples is they can have
alternate fruit-bearing years. So, if you have a
really big year one year, you’ll have less availability in the next. It’s just the nature of the beast.
CC: What are your goals for Costco’s
organic food program?
JL: To continue to grow the organic program in every area where it makes sense, not
only for our suppliers, but also for our members. And to try to bridge some of the gaps we
have in weather and times of the year, because
there are certain times of the year it’s very hard
to grow organics.
With organic meat, we’re in the process of
securing our own resources to ensure the sus-tainability of the program. If we’re going to
grow this program, we have to have available
resources so we can continue to deliver a high-quality product.
DK: Making sure our products have better ingredients that are healthier for our members. I want to continue making it clear that
our members are being taken care of and that
we’re providing products they’re looking for.
That’s our job and that’s our goal.
CC: What new organic items are com-
ing out in 2016?
DK: We just got signed off on Kirkland
Signature™ Organic 100% Juice boxes, which is
a big positive, and Kirkland Signature Organic
Coconut Water.
JL: I can’t tell you ahead of time what
organic fresh foods are coming out in 2016.
We don’t know what products won’t make it.
If along the way a problem occurs with an
organic crop due to weather or pest influences,
then sometimes that farmer, depending on
how far along that crop is, loses everything.
In that case, that farmer may have to go to
conventional just to save his farm and save his
livelihood. And we would support him and
buy the conventional item from him.
CC: Do you foresee a time when all of
Costco’s food items could be organic?
DK: No, I don’t think so. For some suppliers the ingredients that are involved in the
product just don’t allow them to be 100 percent organic, so it’s tougher for them.
JL: We would carry organic products
every day of every year if our members wanted
that. We just aren’t able to do that yet. But we’re
growing the program, we’re growing the acreage and our suppliers are doing a great job.
They have planted more organics on our
behalf, and we’re able to access more product,
so it’s going to get better every year. C
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SHUTTERSTOCK
Ground Beef
Costco: $5.50/lb.
Warehouse club: $6.99/lb.
National retailer A: $8.49/lb.
National retailer B: $8.99/lb.
National retailer C: $9.99/lb.
Boneless Skinless Chicken Breast
Costco: $5.99/lb.
National retailer A: $6.99/lb.
National retailer B: $8.99/lb.
Honeycrisp Apples
Costco: $2.91/lb.
Northwest chain A: $3.49/lb.
Northwest chain B: $6.99/lb.
National retailer: $3.99/lb.
Spring Mix
Costco: $3.99/lb.
Northwest chain A: $3.99/lb.
Northwest chain B: $6.99/lb.
National retailer: $5.00/lb.
Juice Boxes
Costco: $11.89–$12.49/40 ( 6. 75 oz.)
(available in early 2016)
National retailer: $5.49/8 ( 6. 75 oz.)
Organic
comparison chart
What does “organic” mean?
THE UNITED STATES Department of Agriculture (USDA) oversees the certification
and labeling of organic foods. In order for a
product to be labeled “organic,” it must
meet strict USDA standards for how it was
farmed or raised.
Organic produce is grown without synthetic fertilizers, pesticides, herbicides or
fungicides. A conventional farm that wants
to become organic must wait for three years
after using any of these prohibited materials
in order to qualify for organic certification.
Organic livestock eats only organic
feed, is not given antibiotics or growth hormones and must have access to outdoor
areas, space for exercise, fresh air and
clean drinking water.
In order for a processed food (such
as crackers or soup) to be labeled organic,
at least 95 percent of its ingredients must
be certified organic.
To learn more about organic certification and labeling, visit ams.usda.gov and
click on “Organic Certification.”—KJ
