Friday, August 11, 2006

Horizon: The Wal-Mart Flaw in Microcosm

Seattle Times: Puget Consumers Co-op is dropping Horizon "organic" labeled milk

"... that means the cows likely have antibiotics and other nonorganic substances in their systems, said Mark Kastel, a senior farm policy analyst for Cornucopia who has visited the Idaho farm. "They're gaming the system," Kastel said."

Which is exactly what we skeptics have been claiming about Wal-Mart's "green" conversion. As lamentable as it is, "green" does not scale at global (or even nation-wide) business levels. So while Horizon may claim to offer organic milk, producing it at quantities that enables sale in everything from 7-11s to Safeways means you have to game the system.

I would love Wal-Mart to prove me wrong, but simple economics stipulate that local beats global wherever the two meet on a level playing field (i.e., multinationals don't come in and intentionally undercut prices to drive local producers out of business before then raising prices after the local competition has been obliterated).

Speaking of Wal-Mart, Gristmill (as always) has a ripping thread on the why bash? argument.