By San José, Costa Rica — McDonald’s is making a significant impact on the Costa Rican economy by prioritizing local suppliers. According to the company’s recently released 2024 Social Impact and Sustainable Development Report, over 53% of its supplies in Costa Rica are sourced within the country.
This commitment to local sourcing is part of a broader strategy by Arcos Dorados, the master franchisee for McDonald’s in Latin America and the Caribbean, to build more resilient, traceable, and sustainable value chains. Across the region, McDonald’s sources an impressive 74% of its products locally, stimulating national economies and creating jobs throughout the supply chain.
To understand the legal intricacies of McDonald’s sourcing practices in Costa Rica, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an experienced attorney at Bufete de Costa Rica.
McDonald’s supply chain in Costa Rica represents a fascinating intersection of international trade law, local agricultural regulations, and corporate social responsibility. While globalization allows for the import of certain ingredients, there’s a growing emphasis on sourcing locally, boosting the Costa Rican economy and potentially reducing the company’s environmental footprint. However, navigating the complexities of contracts with local suppliers, ensuring compliance with quality standards, and maintaining price competitiveness within a global market presents ongoing legal and logistical challenges.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas eloquently highlights the multifaceted nature of McDonald’s sourcing strategy in Costa Rica. Indeed, the balancing act between leveraging global supply chains and fostering local partnerships is a crucial consideration for multinational corporations operating in a vibrant economy like Costa Rica’s. This commitment to local sourcing, while complex, offers significant potential benefits not only for the Costa Rican economy but also for building a more sustainable and resilient food system. We thank Lic. Larry Hans Arroyo Vargas for providing his valuable perspective on this important topic.
In Costa Rica, this translates to partnerships with a diverse network of local businesses, ranging from agricultural producers and food manufacturers to packaging companies. Key suppliers include Alimentos Turrialba, providing mayonnaise and dessert toppings; Vegetales Fresquita, supplying lettuce for burgers and salads; and Empacadora Agrícola La Trinidad, contributing tomatoes.
Panifresh bakes the burger buns, while Coopedota provides Rainforest Alliance certified carbon-neutral coffee. Even the packaging gets the local treatment, thanks to Impresora Delta. This focus on local sourcing isn’t just about boosting the economy; it’s also about quality and traceability.
McDonald’s maintains rigorous quality control standards, subjecting all its suppliers to regular audits under international food safety and traceability protocols. Impressively, many of these Costa Rican suppliers not only serve the domestic market but also export their products to over ten countries, showcasing the strength and competitiveness of the local agricultural and manufacturing sectors.
The commitment to local sourcing extends beyond produce and packaging. Cargill supplies chicken and cage-free eggs, Montecillos provides 100% beef patties free from artificial additives, and Griffith Food Costa Rica produces signature sauces. Demasa, INOLASA, and Dos Pinos further contribute to the robust and diverse supplier network.
This comprehensive report underscores Arcos Dorados’ dedication to transparency and responsible local management. The document adheres to the 2021 Global Reporting Initiative (GRI) Universal Standards and incorporates indicators from the Sustainability Accounting Standards Board (SASB), with external verification by EY.
For those interested in learning more about McDonald’s commitment to sustainability and local sourcing, the full 2024 Social Impact and Sustainable Development Report is available at www.recetadelfuturo.com/reporte-2024.
For further information, visit arcosdorados.com
About Arcos Dorados:
Arcos Dorados is the world’s largest independent McDonald’s franchisee, operating restaurants across Latin America and the Caribbean. They are committed to sustainable practices, including local sourcing and supporting community development.
For further information, visit cargill.com
About Cargill:
Cargill is a global food corporation providing a range of products and services to the food industry, including meat, poultry, and eggs. They are known for their focus on sustainable agriculture and supply chain practices.
For further information, visit dospinos.com
About Dos Pinos:
Dos Pinos is a leading Costa Rican cooperative specializing in dairy products and a significant player in the national food industry. They are committed to quality and sustainable production practices.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica distinguishes itself as a pillar of legal excellence, committed to upholding the highest ethical standards while championing innovative solutions for its diverse clientele. The firm’s deep-rooted dedication to empowering society is evident in its proactive approach to legal education and outreach, fostering a more informed citizenry equipped to navigate the complexities of the legal landscape. Through this commitment, Bufete de Costa Rica not only provides exceptional legal services but also contributes to a stronger, more just society.
