With the opening of another Melbourne store set for late 2013, the retailing giant Costco’s commitment to using local Australian produce will see a demand for additional new suppliers. This is a welcome opportunity for Australian food businesses.
A substantial number of local producers are already benefitting from Costco’s arrival in Australia. For example, Costco’s highly commended beef is a grain-fed premium product coming out of Swift Australia’s Beef City feedlot in Toowoomba, Queensland. Meanwhile Baiada Poultry has been supplying its well-regarded Lilydale free-range chicken and Steggle’s fresh and crumbed poultry lines to Costco from the inception of the first Costco store opening in Melbourne in 2009.
The American supermarket giant has had a major impact in the Australian fresh produce market since opening its first store in Melbourne’s Docklands in 2009.
This was followed by Canberra and Sydney stores opening in July 2011. Frais Farm in East Gippsland is an example of a smaller producer who has developed with great success following big orders from Costco.
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via Costco Looking to Source New Deals in the Australian Market – International Business Times.