Walmart Increases Commitment to Angus Beef Production by Opening New Processing Plant
Walmart Opens First Case-Ready Beef Facility in Kansas
Walmart U.S., a significant player in the grocery business, has taken a significant step towards building an end-to-end supply chain for Angus beef. The company has invested in a state-of-the-art facility in Olathe, Kansas, marking its first fully owned and operated case-ready beef facility.
Spanning over 300,000 square feet, the facility is a critical part of Walmart's strategy to secure local procurement of Angus cattle within a 250-mile radius. The company has made a substantial equity investment in Sustainable Beef LLC, which sources cattle locally to ensure a high-quality, traceable beef supply.
The new facility processes fresh beef into case-ready cuts, packages the products, and distributes them to Walmart stores across 14 Midwestern states. This integrated approach strengthens supply chain control and ensures consistent product quality across stores. The facility directly supports over 600 Walmart stores and creates more than 600 jobs in the Olathe region.
John Laney, EVP of food at Walmart U.S., stated that the move is aimed at delivering more affordable food and quality that customers can trust. The fresh, traceable, high-quality Angus beef is expected to reach stores efficiently, improving supply chain resiliency and transparency.
Walmart's end-to-end supply chain strategy also supports local ranchers and U.S.-based production, aligning with its $350 billion commitment to U.S.-made products by 2031.
Meanwhile, Walmart's rival, Target, is showcasing a new store strategy in Texas with a large-format location in Denton North. The store accommodates a bigger-than-average fresh and frozen food and beverage section.
Walmart U.S. is ranked No. 1 on Progressive Grocer's 2025 list of the top food and consumables retailers in North America. The company's FY2025 revenue stands at $681 billion, serving approximately 270 million customers and members each week through more than 10,750 stores and numerous e-commerce websites in 19 countries.
The investment in Olathe is further driving the state's success in the agriculture industry, according to Kansas Governor Laura Kelly. The new facility will process fresh Angus beef into retail case-ready cuts, marking a significant milestone in Walmart's journey towards a more sustainable and responsible beef supply chain.
References:
- Walmart Press Release
- Progressive Grocer
- Meatingplace
- The Kansas City Star
- The Olathe Mirror
- Walmart's investment in a case-ready beef facility in Kansas, a part of its end-to-end supply chain strategy, also aims to finance U.S.-made Angus beef, contributing to its $350 billion commitment to American products by 2031.
- This strategic move by Walmart not only bolsters its business in food-and-drink but also objectives to enhance its lifestyle offerings by providing affordable, high-quality, and traceable Angus beef, thereby influencing consumer choices and preferences.