How to ship produce to Costco: PTI label requirements
How to Ship Fresh Produce to Costco: PTI Label Requirements Explained
Already a Costco produce supplier - or working toward it? Here's exactly what Costco expects for traceability labeling, and how to make sure your cases pass at receiving.
Costco is not like other retail accounts. Their compliance bar for fresh produce suppliers is among the highest in the industry, and labeling is one place where they simply won't accept close enough.
When a case of your produce arrives at a Costco depot, the receiving team scans it. If your GS1-128 barcode doesn't read cleanly - or if the data it returns doesn't match what Costco expects - that case fails. Depending on the severity, that can mean a rejected pallet, a chargeback, or a conversation with your buyer you'd rather not have.
✅ The Baseline: Full PTI Case Label Compliance
Costco requires PTI-compliant case labels on all fresh produce. Every case that leaves your dock must have:
📷 GS1-128 Barcode Encoding
• Your GTIN - Application Identifier 01
• Your lot number - Application Identifier 10
• Pack date - Application Identifier 13 or 11
📝 Human-Readable Text
• Commodity name and variety
• Pack style and count
• Brand/grower name and country of origin
• Lot number and pack date
• Voice pick code (4-digit CRC16 hash)
📦 What Costco Adds Beyond Standard PTI
Packed-On Date is Non-Negotiable
Costco requires that produce items include a packed-on date in both human-readable format and encoded in your barcode. Julian code dating is not accepted - Costco requires standard calendar date format.
Traceability Must Go All the Way Back
Costco audits their produce suppliers on traceability performance. They will, at times, request vendors conduct a mock recall exercise on a single item lot - covering each step of the supply chain from point of manufacture through last distribution point prior to Costco's receipt.
Azzule Systems for Audit Records
Costco uses Azzule Systems to manage fresh produce audit information, including audit reports, corrective actions, and certificates. If you're a fresh produce supplier to Costco, get familiar with Azzule early - your food safety audit records are managed there, and your buyer will reference it.
GFSI Certification
Costco requires suppliers to hold and maintain an accepted third-party GFSI-benchmarked certificate. For fresh produce, that typically means SQF (Safe Quality Food) certification or equivalent. This is separate from your labeling compliance but part of the overall supplier approval picture.
🚜 Pallet Label Requirements
Case labels are only half of it. Costco also requires pallet-level hybrid labels that summarize the full contents of each pallet. A proper Costco produce pallet label includes:
• All GTINs represented on the pallet
• All lot numbers on the pallet
• Total case count
• SSCC (Serial Shipping Container Code) - the unique 18-digit pallet identifier
🚩 Common Reasons Produce Gets Rejected at Costco Receiving
Barcode Won't Scan
The most common issue. Usually caused by low print density, a label that got wet or smudged in transit, or a barcode printed too small. Use a quality direct thermal printer rated for produce environments and test every label format before your first shipment.
GTIN Not in Costco's System
If your GTIN isn't registered in Costco's item database before your first shipment, receiving won't know what to do with it. Work with your buyer to get your GTINs registered during onboarding - don't assume it happens automatically.
Lot Number Mismatch
The lot number on the case label must match your shipping documentation exactly. Even a formatting difference - uppercase vs. lowercase, dashes vs. no dashes - can cause a receiving failure.
Missing Voice Pick Code
Large Costco depots use voice-directed picking systems. A missing or incorrect voice pick code creates a gap in their receiving workflow that holds up the entire pallet.
Julian Date Format
Costco does not accept Julian dates. If your labeling system is printing pack dates in Julian format, that needs to be corrected before shipping - full stop.
📱 Procurant and Electronic Data Exchange
Many Costco produce vendors receive purchase orders and submit advance ship notices through Procurant, the produce industry's electronic trading platform. If Costco issues you POs through Procurant, you'll need to submit a compliant ASN (Advance Ship Notice) for each shipment - typically including the GTIN, lot number, case count, and pallet SSCC.
🤝 The Supplier Onboarding Process
Getting to your first Costco shipment involves several steps that happen before you ever print a label:
Contact from a Buyer
Costco buyers typically identify and recruit vendors directly. That said, you can initiate contact through the Vendor Inquiry form at costco.com and work toward getting in front of the right buyer.
Get a Costco Vendor Number
A Costco item number and vendor number is mandatory for registration to occur. Your buyer coordinates this during onboarding.
Register Your GTINs
Work with your buyer to get each commodity GTIN registered in Costco's item database before your first shipment. Don't wait until the last minute - this needs to happen during onboarding.
Register in Azzule
Your food safety audit records for fresh produce are managed through Azzule Systems. Get registered early - your buyer will reference it throughout the relationship.
Get Your Labeling System Verified
Print test labels, scan them, and confirm the data reads back correctly before your first real shipment. Your buyer can often connect you with Costco's compliance team for pre-shipment label verification.
📋 Quick Reference: Costco Produce Label Checklist
☐ GS1 Company Prefix obtained from GS1 US
☐ GTINs assigned for each commodity and pack style
☐ GTINs registered with Costco (coordinated through your buyer)
☐ Case labels include: GTIN, lot, pack date, voice pick code, commodity, brand, origin
☐ Pack date in calendar format - not Julian
☐ GS1-128 barcode encodes AI 01 (GTIN), AI 10 (lot), AI 11 or 13 (pack date)
☐ Pallet labels include: all GTINs, all lot numbers, case count, SSCC
☐ Barcodes tested and confirmed scannable
☐ Azzule registration complete
🌱 How AgTag USA Handles Costco Compliance
AgTag USA was built for exactly this workflow. When you receive a Costco PO - whether through Procurant or entered directly - AgTag generates fully compliant PTI case labels and hybrid pallet labels for each shipment.
Everything Costco needs, handled automatically. ⭐
The GTIN, lot number, pack date, and voice pick code are populated from your order data automatically. Every label printed is logged against the order, so you have a complete audit trail ready if Costco ever initiates a trace or mock recall.
Try AgTag USA Free for 7 Days
No credit card required. Start printing Costco-compliant PTI labels today.
Start Your Free Trial →❓ Frequently Asked Questions
Does Costco have its own label format, or does standard PTI work?
Standard PTI case labels meet Costco's requirements when they include all required fields and the packed-on date in calendar format. Costco does not require a proprietary label format beyond PTI compliance.
What pallet type does Costco require for produce?
iGPS, PECO, or CHEP U.S. block pallets. GMA stringer pallets are not accepted for produce shipments.
How do I get my GTINs into Costco's system?
Your Costco buyer coordinates item setup during the onboarding process. Don't wait until your first shipment to ask - get your GTINs registered in advance.
What is Azzule and do I need it?
Azzule Systems is the platform Costco uses to manage fresh produce supplier audit records. If you're shipping fresh produce to Costco, you'll need to be registered in Azzule.
What if my barcode fails at receiving?
Contact your buyer immediately. Most first-time failures are barcode print quality or a GTIN registration issue. Have your label file and printer specs ready so you can troubleshoot quickly.