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Costco transitions to cage-free egg policy
COSTCO Wholesale, the world’s second larg- est retailer, will over time transition to a new animal welfare policy that includes banning cages for animals in its global egg supply.
policy on the confine- ment of animals in its supply chain.
Grammy-nominated musician Steve Aoki, who accused the compa- ny of animal cruelty and discriminating against Asian customers.
The failure to provide adequately for the wel- fare of animals through- out Costco’s supply chain could have significant adverse effects on the business and operations of the company and its investors.
animal welfare and food safety issue throughout its global supply chain,” Ms Tuxford said.
its most recent quarterly earnings data on Decem- ber 9, 2020.
estimate of $A2.70 by $A0.32.
Chinese government- affiliated media reported that construction was un- derway on a new 50,000- hen cage-free egg laying farm for supply of eggs to Costco on mainland China.
Studies by the European Food Safety Authority and others found caged egg farms have higher rates of contamination from key salmonella strains compared to cage- free farms.
Costco stock has risen 28 percent this year, with the company reporting
The retailer reported $A3.02 earnings per share for the quarter, topping the consensus
The firm had revenue of $A57.02 billion for the quarter, compared to ana- lyst estimates of $A55.76 billion.
The move covers Cost- co’s growing interna- tional footprint, which includes mainland China, Taiwan, Japan, South Ko- rea, Mexico, Australia, Canada and Europe.
Costco launched its first store on mainland China in 2019, amassing over 200,000 members in its first few months – ad- ditional stores are sched- uled to open in 2021.
The sale of caged eggs has been banned in recent years in Costco’s home state of Washington as well as in California, Or- egon, Michigan, Massa- chusetts and Colorado.
Spokesperson and pro- gram manager for the Lever Foundation – a Pennsylvania-based ani- mal protection non-profit that worked with Costco for the past two years on making the commitment – Kirsty Tuxford said, “We applaud Costco for this landmark decision to use only cage-free eggs throughout its global sup- ply chain.”
Costco financial plan- ning and investor rela- tions director Josh Dah- men said, “We are in the process of making that transition.”
International locations account for nearly a third of Costco’s total store count and as at 2019, Costco reported 239 in- ternational stores.
The company’s updated animal welfare policy reads:
“We will continue to increase the percentage over time, with a goal of eventually getting to 100 percent, though this may take several years in several countries due to issues with availability,” he said.
The company’s deci- sion comes in the wake of criticism from non- government organisa- tions and Asian-Amer- ican celebrities, includ- ing Walking Dead star Eleanor Matsuura and
In addition to focus- sing on animal welfare because it is the right thing to do, Costco be- lieves failure to do so would create risks for the business and its share- holders.
“Costco’s move will spare millions of animals from being confined for their entire lives in cages so small they can barely turn around.
Steve Aoki has penned an open letter with The Walking Dead’s Eleanor Matsuura calling for the end of Costco’s sale of caged eggs in Asia. Directed to the grocery chain’s CEO, W. Craig Jelinek, the actress and EDM star state how caged egg sales violate the company’s own animal welfare policy and put Asian customers at risk of food-borne illness. They follow up the second point with links to studies that have shown that caged egg farms have higher rates of salmonella contamination than cage-free facilities.
Costco is the first US retailer to issue a global
“We commend Costco for being the first US re- tailer to address this key
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