The idea of merchants vertically integrated into the food system was set in motion when corporations like Kroger, Walmart, Safeway, and others opened dairy operations to create their liquid milk, ice cream, and cheese, even though it was still a new notion.
Costco is the latest firm to see the benefits of having complete control over its assets from farm to plate, and fully unifying the distribution network allows shops to position milk and chicken as loss leaders, allowing them to sell products at market prices to promote sales of many other, more profitable goods and services. This posture will help Costco maintain its $4.99 rotisserie chicken price, which has not increased in over a year. Therefore, it ultimately shows that Costco’s poultry demands are high.
Costco, well-known for its food safety leadership, claims to have its own set of guidelines for its suppliers and enforce proper regulations for its broiler farmers. Salmonella and campylobacter pathogens in the chicken are likely to be spread by packed windowless factory farms, according to CR. According to the consumer magazine, organically reared poultry is recommended over conventional poultry. It accepts that organic food is more expensive.
Costco’s Rotisserie Chicken
The ease, flavor, and low price of Costco’s Whole Rotisserie Chicken have made the product famous, yet it is not unique. Rotisserie chicken is also available at a reasonable price at other restaurants. ShopRite, for example, sells a rotisserie chicken out of their own Bowl & Basket brand for $5, the same price as Costco.
Rotisserie chickens are quick, flavorful, and easy to transport and are not always healthy for your health. As CR previously reported, a saline solution is frequently poured into roasted chickens to increase flavor and make the meat softer. Each 3-ounce serving of Costco Rotisserie Chicken contains 460 mg of salt. That’s one of the maximum salt intake recommended for individuals in a day.
Conventional Raw Chicken from Costco
The rotisserie chicken is the same as raw chickens sold under the Kirkland Signature brand, and over their Costco’s poultry demands are great. The majority of the 100 billion hens produced in the US every year are reared on factory farms with tens of thousands of birds in windowless rooms. Animal welfare is harmed by overcrowding, and it can increase the spread of hazardous germs like salmonella.
Costco takes part in an Animal Protection Audit Program, in which its farms and manufacturing factories are assessed to ensure that they meet the welfare of animals and organic certification standards.
Costco’s chicken farm features a 5-stage Climate Controlled Shocking system, tunnel air to reduce air pollution, limited density to guarantee appropriate space for the chicks, and shelter spaces to protect the birds from the elements.
Chicken Farm at Costco
Costco’s chicken ranch in Fremont, Nebraska, is one of the first initiatives by any major store to combine their chicken supply vertically. This enormous structure covers 430 acres, is 400,000 square feet, employs over 1.5 million people, and costs $450 million to construct.
This factory includes feed mills, egg production, processing facilities, and testing laboratories, and it covers all elements of the chicken production process. The chicken farm employs a large number of local poultry producers. Additionally, local grain farmers provide maize and soybeans and use them to feed the chickens.