Page 126 - The Costco Connection - October 2018
P. 126

INSIDE COSTCO // BUYING SMART












           graded and sorted for size and color. The   recently cashew apples didn’t have a use
           nuts are then pasteurized and packed in   and were just left on the ground.
           
	-pound bags, loaded in a sea container   Today, with support from Costco and
           and shipped to the roasting facility in the   TechnoServe, an international nonprofit
           United States.                     that promotes business solutions to pov-
              Upon arrival, the cashews go through   erty in the developing world, local growers
           extensive quality control testing. If they   are finding value in the discarded cashew
           meet the strict quality control standards   apples. “The farming communities are
           of Kirkland Signature, they will then be   now making nutritious cashew apple juice
           roasted, packaged and shipped to a   for sale locally while providing
           Costco depot before arriving at one of the   additional income for their families,”
            
	 warehouses around the globe.   Knapp says.
              This process, from start to finish, can
           take nearly a year, and the miles traveled   A versatile and flavorful nut    Quality is in
           are equivalent to circling Earth.    Costco has been selling roasted
                                              Kirkland Signature Whole Fancy             the size
           Quality control in all aspects     Cashews, its top-selling nut, since ‰ŠŠ
.
              The focus isn’t just on the quality of   Today unsalted and organic raw cashews   All Kirkland Signature
           the cashews. Costco buyers are also   are also offered.                       cashews meet strict quality
           focused on the quality of life of those they   Cashews can be turned into a non-  standards, and they are
           work with, and they continually strive to   dairy beverage, butter and even cheese,   among the largest cashews
                                                                                         in the industry. “When
           ensure working conditions are good for   and can be eaten in every meal from   cashews are processed, we
           each and every individual within the  breakfast to dessert.                   get over 25 di” erent grades
           supply chain. Everybody must be treated  Packed with protein, as well as      of cashew kernels,” says Dan
           well while earning a comfortable wage.  phosphorus, magnesium, copper and     Phipps, president and CEO,
              “We want to ensure farmers and plant   manganese, cashews add delicious flavor   Red River Foods, one of the
           employees’ livelihoods are positively   to a variety of foods.                suppliers of Kirkland
           affected, and it’s crucial that we fully   “Cashews can be used as a base for   Signature cashews.
           understand the impact we are having in   sauces, used as thickeners in gravy, and   “Costco’s expectations for
           the countries we do business in,” Knapp   they can be chopped fine for use in pesto   the highest-quality, premium
           says. “We travel to these locations to review   sauce to give a great flavor and crunch,”   cashews are well known
           farmer and community enhancements,   says Ganesh Rajaraman, senior vice presi-  throughout the global supply
           and to support local communities with   dent of marketing, Olam International,   chain,” Phipps says. “For
           things like schools and  maternity and   one of the world’s top producers of edible   decades, Kirkland Signature
           medical centers. We also promote farmer   nuts and a supplier to Costco for more   cashews have been
           training to help educate the local farmers   than a decade.                   recognized as the premier
           about new, more efficient ways to farm.   The next time you indulge in Kirkland   cashews available in the
              “Our goal is to help these in-country   Signature cashews, know that you are not   consumer market.”—LB
           farming communities thrive, which in   only enjoying a delicious and nutritious
           turn helps us to provide a high-quality   snack, you are the final step in an
           cashew for Costco members.”        arduous process to provide quality
              As an example, he explains that until   cashews and support cashew farmers
                                              all over the world.



           Space savers               that they can control.   increased the number of jars
                                        For instance, in 2009,   per pallet from 288 to 432
              Because the cashew market   the decision to move from   by maximizing every square
              (and so many others) can be   round jars to square had a   inch of space possible,
              volatile due to weather, ship-  signifi cant impact, according   thereby driving down freight
              ping costs, pests and many   to Justin Knapp, Kirkland   costs, and we were able to
              other factors, Costco buyers   Signature foods buyer, by   pass the savings on to our
              try to fi nd ways to keep costs   making it possible to ship   members.”—LB
              as low as possible in ways   jars more eˆ  ciently. “We

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        USp108_109_BuySmart_cashews_v2_R2.indd   109                                                       9/19/18   2:46 PM
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