A Costco executive mentioned that the company is continuously seeking ways to reduce prices and manage any price increases effectively.

Costco's executive, Pierre Riel, mentioned that since the beginning of 2023, Costco has reduced prices on hundreds of items. Speaking to a House of Commons committee in Ottawa about food prices, Riel emphasized Costco's efforts to manage price increases and lower costs as input and commodity prices fluctuate. He highlighted Costco's commitment to its private-label brand, Kirkland Signature, which has seen a 12% increase in items over the last four years and offers significant savings compared to national brands.

Riel also noted Costco's investment in Canadian suppliers, with nearly two-thirds of Kirkland products manufactured in Canada, and in its employees, citing a raised starting hourly wage of $18.50 and an average hourly wage of $30.20. Unlike some competitors, Costco does not participate in the practice of freezing price requests during the holiday season. Instead, Costco consistently seeks ways to reduce prices and manage cost increases, leveraging its membership model to offer products at competitive prices.

Costco's strategy has been effective, Riel explained, with a strong and growing membership base in both the U.S. and Canada. This discussion follows ongoing government scrutiny and discussions with major grocery retailers aimed at stabilizing food prices and addressing concerns about industry practices and competition.