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Costco's $4.99 Rotisserie Chicken Defies Inflation

Financial Times Companies •
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Costco keeps its iconic rotisserie chicken at $4.99 despite soaring inflation by operating its own processing plant in Nebraska. The vertically integrated facility lets the retailer control feed, breeding, and slaughter costs, shielding the price from market spikes that have pushed wholesale poultry up more than 20 % in the past year. Still, the strategy is a constant battle: feed grain prices, labor shortages, and avian‑flu outbreaks threaten margins, forcing Costco to continually tweak supply‑chain efficiency.

The piece also explores how chicken has become the world’s dominant protein, with global poultry numbers surging past 30 billion birds, reshaping diets, high streets, and agricultural landscapes. As demand grows, the tension between low‑cost production and animal‑welfare standards intensifies, raising questions about whether the chicken takeover can remain sustainable.