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Macca’s reveals staggering Aussie grocery bill

McDonald’s spends $1 billion on Australian produce a year. Picture: Paul J. Richards/AFP
McDonald’s spends $1 billion on Australian produce a year. Picture: Paul J. Richards/AFP

EVERY year, McDonald's buys the equivalent of 1322 AFL teams worth of beef from Australian farmers. That's about 25.3 million kilos.

To coincide with National Agriculture Day, the fast-food chain has for the first time revealed its $1 billion annual shopping list of local produce including beef, lettuce and tomato.

According to McDonald's, more than 90 per cent of its ingredients are locally sourced.

Last year, Macca's bought 57 million litres of fresh milk - enough to fill 23 Olympic swimming pools - 19.6 million kilos of wheat flour, 13.9 million kilos of chicken, 5.6 million kilos of lettuce, 2.8 million kilos of fresh tomatoes, five million kilos of cheese, 100 million kilos of potatoes and 1.4 million kilos of cucumbers.

"We've been committed to Australian suppliers and farmers for more than 40 years, and see them as an integral part of the McDonald's business," McDonald's director of supply chain Robert Sexton said in a statement.

"The great quality and taste of Australian homegrown produce means we choose to serve local ingredients and products on our menu wherever possible, and also export substantial amounts of product for use in restaurants right around the world."

McDonald's employs about 106,000 people in Australia, 20,000 of whom are based in regional areas. The chain says its suppliers export $175 million worth of Australian products to its overseas restaurants annually.

"Everyone at Macca's is proud of the strong, and often longstanding relationships we have with our suppliers, and I'm fortunate enough to deal with these important partners to our business on a daily basis," Mr Sexton said.

"I enjoy working closely with both suppliers and franchisees to ensure we always serve the best quality products to our customers, and influence the future menu pipeline for McDonald's.

"It's a job I never would have imagined I'd end up in when I first started at Merrylands McDonald's 20 years ago, but I relish the challenge to effectively deliver constant value to Macca's, our suppliers and our franchisees."

National Farmers' Federation president Fiona Simson said in a statement the shopping list "demonstrates a solid commitment to Australia's farm sector".

"The volume of ingredients and products that McDonald's is sourcing from suppliers all around Australia is significant," she said.

"Demand from businesses like McDonald's helps fuel exciting growth in the farm sector, and with total farm gate output worth $60 billion last year, agriculture is Australia's fastest growing industry.

"Given the important role Macca's plays in our supply chain, we're thrilled to have them partner with the National Farmers' Federation to celebrate Australia's first National Agriculture Day."

With more than 950 locations, McDonald's has a 20.2 per cent share of Australia's $19.3 billion fast-food industry, according to market research firm IBISWorld, which estimates its revenue at $3.9 billion in 2017, a 4.3 per cent increase on the prior year.

At its half-year results in July, McDonald's credited innovations road-tested in Australia - such as all-day breakfast and DIY burgers - for turning around falling sales, posting its best result in five years.

MCDONALD'S SHOPPING LIST

• 25.3 million kilograms of local beef

• 57 million litres of fresh milk

• 19.6 million kilograms of wheat flour

• 13.9 million kilograms of chicken

• 5.6 million kilograms of lettuce

• 2.8 million kilograms of fresh tomatoes

• 5 million kilograms of cheese

• 100 million kilograms of potatoes

• 1.4 million kilograms of cucumbers

Source: McDonald's Australia

Topics:  editors picks fast food mcdonald's



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