Walmart Getting into Beef Business

Nation’s largest grocer is establishing its own supply chain to sell Angus beef cuts in 500 stores.

April 29, 2019

BENTONVILLE, Ark. – CNBC reports that Walmart “is creating its own end-to-end supply chain to sell no-hormone-added Angus beef cuts in 500 Walmart stores across the Southeast later this year.”

“Beef is an important purchase for our customer … it’s likely the most expensive item on their plate and they are treating themselves when they buy it,” Scott Neal, senior vice president of meat, said in a press release. “Creating this supply chain allows us to treat our customers by giving them unprecedented quality and transparency.”

The new endeavor will create more than 450 jobs and will provide “quality and transparency” during the shopping experience. Walmart still will provide meat products from Tyson and Cargill.

Bob McClaren of 44 Farms and Prime Pursuits will help source cattle, and Mc6 Cattle Feeders will feed them. Creekstone Farms will process the cattle at its facility, where more than 250 jobs will be created. FPL Foods will operate the case-ready packing facility, where the meat gets packaged and sent to stores, creating an additional 200-plus jobs.

Last year, the company purchased a milk processing plant in Indiana to supply its own private-label milk products. These moves to get closer to the source come as competition becomes more intensified in the grocery industry.

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