The Massive Company Behind Costco's Kirkland Brand Chocolate-Covered Almonds

Costco may be known for its dollar hot dog meals, free sample frenzies, and low prices on big-ticket items like car tires and big-screen TVs, but the real powerhouse behind the brand is its in-house Kirkland Signature line. This private label, which covers everything from toilet paper to super affordable Champagne, generates over $50 billion annually — a figure that surpasses even massive brands like Nike (per Fortune).

The open secret among Costco shoppers, of course, is that many Kirkland Signature products are made and packaged by other well-known brands. For instance, Costco's bottled water comes from Niagara Bottling in California, while its signature tequila is produced by Santa Lucia Corporate Distillery in Tesistán, Jalisco, Mexico. As for chocolate products like its chocolate-covered almonds? Costco has been working with Blommer Chocolate Company for decades, according to its self-published newsletter, Costco Connection.

Blommer may not be a household name like Hershey's, but the Chicago-based company is actually North America's largest supplier of chocolate ingredients. According to Costco Connection, Costco chose Blommer as a partner due to shared values that focus on sustainability.

Costco's partnership with Blommer is a win-win for the big-box warehouse. While Costco is known to produce some Kirkland-branded products, like hot dogs and rotisserie chickens that always cost $4.99, the chocolate industry is fraught with politics, geography, and other intricate details that make it a tricky business. Thanks to its status as the largest North American cocoa producer, Blommer already has well-established networks among the world's cocoa farmers — not to mention the financial means to pick and choose the best sources — so Costco gets a better deal by letting Blommer take the lead.

If you're a fan of Costco's chocolate-dipped almonds and other chocolatey treats, you can also rest easy knowing they are ethically produced and the cocoa farmers are paid fair wages. According to Costco Connection, Blommer works exclusively with a select group of around 5,000 cocoa farmers in West Africa's Ivory Coast. With better wages, sustainability initiatives, and farming education, these producers can offer higher quality cocoa while preserving the rainforests around them. The cocoa is also traceable, which is key to preventing unethical child labor — a huge problem in the chocolate industry. So all you need to worry about is perhaps how many chocolate-dipped almonds are in a serving, because beyond that, you can be sure Costco's almonds are produced by a reputable and ethical company.