ISSAQUAH, WA - Rumor has it that Costco Wholesale is now the leader for the organic grocery category, having seen a $1 billion boost in sales since this time last year.

As we previously reported, the organic food category has grown to a $35.9 billion industry, with produce encompassing an impressive 36 percent slice of that category -- a large category to pull ahead of in the industry.

And BMO Capital Markets analysts say that Costco is doing just that, having reported that its warehouse club in Issaquah, Washington exceeded $4 billion in annual organic product sales, according to the Seattle Times. Analysts wrote in a research note that these numbers would mean that the warehouse retailer could already be “eclipsing” current organic food sales leader Whole Foods.

The report spoke frequently on organic foodstuffs, but did not isolate specific category sales such as organic produce versus other organic food items.

“[Organic foodstuffs trade] started small,” CFO Richard Galanti said in an earnings call, according to the report. “It’s still small, relative, but growing faster. And there’s certainly more supply of that out there,” he said.

“Small” being in relation to Costco’s total sales, with is currently projected to hit $114 billion. But for the category whose trend is rapidly inclining, having already jumped 11 percent in the U.S. from this time last year, it is a category to keep an eye on, according to Galanti.

“More organic supply and producers are doing it,” he stated in the call, referring to the difficulty of organic supplies meeting the growing demand.

Galanti added that Costco is also “pretty good” at working with suppliers both in the U.S. and around the world to commit more to organic supply.

Costco Wholesale