Costco Evaluation

TÜV NORD, holding a leading position in food safety inspections and certifications worldwide, enters the new decade with even greater momentum, having been approved as one of only five (5) bodies globally authorized to carry out evaluations of food suppliers based on Costco’s requirements and criteria.

Today’s challenges for food suppliers are numerous and complex, as they must maintain trust with retailers and consumers, protect their brand, and, of course, provide high-quality, safe food. A mandatory prerequisite for meeting these needs, gaining approval, and entering the product lines of one of the largest food retail chains in the United States and Canada is evaluation based on Costco’s criteria.

It is worth noting that Costco generated net sales of approximately $138.4 billion USD in the fiscal year 2017/2018, making it one of the largest food and general merchandise retailers. [Source: Statista.com]. The Canadian retailer only accepts suppliers that are registered through certification from approved certification bodies.

Detailed information on the types of evaluation can be found below:

1. Small Supplier Audit
   A scheduled audit for small suppliers. Applies to suppliers with fewer than 25 employees who do not hold a certification. After successful evaluation, the following year requires either a Costco GMP unannounced audit or GFSI certification with the addition of Costco criteria (Costco Addendum).
2. Costco GMP Audit
   An unannounced Costco GMP audit – based on Costco’s criteria, which are aligned with GFSI standard requirements.
3. GFSI Addendum Audit
   A supplementary audit, carried out in combination with audits for GFSI standards (FSSC 22000, IFS Food, BRC Food), offering cost and time savings for suppliers.

The Benefits suppliers gain from Costco Evaluation include:

• Evaluation by a trained auditor recognized by Costco
• Cost and time savings through combined audits with GFSI standards as a Costco supplier
• Access to the Canadian retail market as a Costco supplier
• Capability to conduct evaluations/certifications globally