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The Honolulu Advertiser
Posted on: Tuesday, February 5, 2008

Wal-Mart adopts new standards for house-brand foods

By Marcus Kabel
Associated Press

Wal-Mart Stores Inc., the nation's largest grocery chain, is adopting new global safety standards for its private label and other foods at a time when analysts say consumers are more concerned than ever about food safety.

Bentonville, Ark.-based Wal-Mart said yesterday it will require audits using global safety standards at thousands of factories worldwide that produce its house brands, including Sam's Choice, and other items that don't carry major brand names.

Wal-Mart said in a statement that it is the first national grocery chain in the United States to adopt the Global Food Safety Initiative standards for its privatelabel products.

A BOOST FOR IMAGE?

Analysts said the move could give Wal-Mart a pro-safety image boost that would help its grocery business, already one of its strongest sales areas along with home electronics, pharmacy and the health and beauty aisles.

E. coli outbreaks traced to bagged baby spinach and beef have heightened consumers' concerns about the food they put on their tables.

"Food safety is at the top of consumers' minds like never before," said Ted Taft, managing director of Meridian Consulting in Westport, Conn. "There is an opportunity to stake out a position as a leader."