The popularity of coconut oil has skyrocketed in recent years. It seems as though everyone is starting to realize what traditional South Pacific cultures with virtually no heart disease knew for centuries: Â coconut oil is one of the healthiest fats on the planet and is a boon to health when plentiful amounts are present in the diet.
Even Dr. Oz recommends coconut oil. When a TV medical doctor is extolling the virtues of coconut oil, you know it has well and truly gone mainstream!
The problem is that good quality virgin coconut oil is not particularly inexpensive. And with more and more budget conscious families demanding coconut oil, the big box wholesalers like Costco have been faced with a dilemma – how best to capitalize on the coconut oil frenzy while keeping the price dirt cheap.
I’ll admit that I’ve been suspicious of the big box wholesaler brands of coconut oil for quite awhile. The price just didn’t jive with the price I knew to be necessary to ensure a quality, pure product.
It seems that evidence is now emerging that my suspicions have been justified.
Mary M. messaged me on my Facebook page just yesterday complaining about the big jar of Costco coconut oil (picture above).  She writes:
“I just opened and began using a big container of coconut oil (got it at Costco) that I’ve had for maybe 3 months and it has sat on my pantry shelf (outside in my garage, I live in Texas so it’s gotten hotter than 100 degrees).
It smells like burned marshmallows, or maybe the inside of a pumpkin on Halloween. Since I can’t find any web sites that describe the smell (other than “yucky” and “very, very bad”) for rancid coconut oil, could you please help me out? I can’t stand to put it on my face….but can I still cook with it?”
Absolutely not.
You don’t want to ever use, cook with, or put on your skin an oil that smells bad!
Mary’s email about her jar of Costco coconut oil raised two big red flags to me. First of all, I’ve been using coconut oil and virgin coconut oil for many years and I have never had it go off, even when kept for a year or two in my garage where the temperature easily reaches a 110-120F on humid August afternoons.
Coconut oil is an extremely stable oil and should never have gone bad such as what Mary M. experienced, provided it is pure, 100% coconut oil and it was filtered properly so that none of the coconut protein was left in the oil.
The second red flag about this Costco coconut oil was the wording of the label. Â There is no such thing as “extra virgin coconut oil”. Â It is either refined coconut oil or virgin coconut oil. A friend of mine who is the owner of a company that is a quality purveyor of virgin coconut oil had this to say:
“… any product that uses the term ‘extra virgin’ and it does not pertain to olive oil is using the term outside its definition… Trying to market something that does not exist.”
Does this mean use of the misleading term “extra virgin coconut oil” indicates an inferior product? Â Not necessarily. Â It is simply a red flag that further investigation to ensure a quality product is required particularly if the product is found on a shelf at Costco or other large retailer for a price that is too good to be true.
Why Inexpensive Costco Coconut Oil is Likely of Poor Quality
There are a couple of potential reasons why Mary M’s Costco coconut oil went bad.
First of all, it might not have been 100% pure coconut oil at all.
Not pure coconut oil? Not so far fetched. This is what the olive oil industry has been doing for years, blending cheaper oils with extra virgin olive oil and marketing it as pure extra virgin olive oil. Since the majority of the oil is indeed “pure” extra virgin, they get away with labeling it as such even though other cheaper usually rancid oils are present. However, what restaurants do is even worse. Most use “olive oil blends” for cooking that are actually 75% canola oil and only 25% olive oil. If you ask them what they use for cooking, most in my experience will simply respond “olive oil” even when this is not really true.
If Mary M’s Costco coconut oil had vegetable oils or cheaper hydrogenated palm oil blended in, even if organic and in small amounts, it would be prone to going off sitting in a hot pantry for a few months causing the entire jar to stink after awhile.
Another possibility is that the oil was improperly filtered and is inferior quality coconut oil subject to rancidity as a result. Â My friend mentioned earlier who is the owner of a company that sells quality virgin coconut oil had this to say when I asked him about Mary’s coconut oil problem and how it could possibly go rancid:
“The only thing I have seen is during the filtering process. Â If they run it too fast or do not change the filters, one can get pieces of coconut (protein) in the product. Â You will not see it other than with time you might see a slight change in color on the bottom of the container. Â And this product can culture at the bottom of the container and it will have a culture smell.”
Another friend who also owns a company that sells high quality virgin coconut oil had this to add:
“It is possible that it was not 100% Coconut Oil. However, I suspect that it was just very old oil and not fresh. Since there is so much demand for Coconut Oil, fresh lots will be sold for money and may not be available at discount stores.”
Was Mary’s Costco coconut oil cut with a small percentage of cheaper oils to boost manufacturer and/or coconut oil reseller profits, poorly filtered causing the coconut protein bits to “culture” the oil, or just old, manufacturer’s defect oil?
It’s anybody’s guess, but one thing is for sure.  It was not fresh, high quality Grade A coconut oil. Good quality, pure coconut oil that has been properly filtered does not go bad in a hot 100F pantry even if in a plastic tub.  Cheaply priced coconut oil at a discount store runs the risk of being old, improperly filtered (manufacturer’s defect) and not the best choice for your health.
Is it a high risk? Â Maybe, maybe not. Â There’s certainly not enough data to confirm one way or the other at this point. As for me, I’m personally not willing to trust a huge corporation to properly source my healthy fats – the fats that build my children’s brain and support their immune function.
The lesson to be learned from Mary’s experience from my perspective is that you get what you pay for whether it be coconut oil or any other food item. Buying coconut oil at Costco, Walmart or some other big box retailer that bases stocking decisions primarily on low price obtained via buying huge quantities at once is a big risk that what you get is going to be poor quality coconut oil that is either potentially blended with cheap oils or is a Grade B, poorly filtered product. Cheap oil that is subject to rancidity and loaded with free radicals risks your health.
It may look and smell fine when you open the jar, but the real test is does it stay looking and smelling fine in a hot pantry or garage after several months?
You can’t tell just by looking at it or tasting it that is 100% virgin coconut oil that has been properly filtered.
Just like with extra virgin olive oil, the only way to ensure a quality product is to buy from a quality small business, not a big box retailer like Costco that buys large amounts of inventory from manufacturers and dumps it on the consumer market at ultra cheap prices. Â While you may get a decent product for a cheap price some of the time, I personally am not willing to take the chance with my healthy fats – the most critical aspect of Traditional Diet – that it will be a quality purchase 100% of the time like what would happen if I bought from a small, trusted producer.
Anything can happen and frequently does as a food item makes its way through the Industrial Food Distribution System!
UPDATE: Since this article was published in June 2013, dozens of other consumers have emailed me with stories of rock bottom priced, poor quality coconut oil being purchased not just at Costco, but other Big Box retailers. Â Buyer beware!
Sarah, The Healthy Home Economist
More Information
Coconut Oil May Not Be Right for You
MCT Oil: The Coconut Oil Dregs
Jenn
I’ve been using Carrington coconut oil for a year and I think it’s a great product! Can’t say enough good things about Costco, either.
Something to consider: Food, even food that should last a long time or “forever” should never, ever be stored in hot or humid conditions. Storing food in a garage is a terrible idea and will cause even the purest of foods to deteriorate. Basements are best. Or, if in a place that doesn’t have basements, an indoor pantry/cabinet.
Jasmine Ward
I was a little bothered about the post and I don’t even use that brand of coconut oil (I use Garden of Life). I think it’s because you stated things as facts and not as your opinion. Like when you said, “…but one thing is for sure. It was not fresh, high quality Grade A coconut oil.” You can’t really say something is for sure if you haven’t gone and checked it out yourself.
Then you say, “…the only way to ensure a quality product is to buy from a quality small business, not a big box retailer like Costco that buys large amounts of inventory from manufacturers and dumps it on the consumer market at ultra cheap prices.”
But you’ve said Nutiva is a good brand.. and they sell their oil at Costco for a decent price. I also can get Nutiva at a local health food store at a pretty decent price (only the big size, though). So are they a good brand or not? You’ve said so, but then you’re kind of saying they’re not because if it’s at Costco, it’s apparently bad. And also because they use the word extra virgin, that probably makes them bad, too. I think your readers might be feeling betrayed because it seems like you are pushing your sponsor and friend’s coconut oil and saying it’s the best. Personally, I don’t know anything about that coconut oil, but from the oils I’ve tried, I find GOL to be the best. I think readers just want opinions without feeling like they are being pushed on something you’re trying to sell.
Kim Roman
I am mystified why Costco is equated with cheap, inferior, questionable, etc. products. Have you ever researched their stringent quality checks? They are able to sell so inexpensively because they limit the number of choices . . . 2 brands of coconut oil available in just one size versus 5 different products available in multiple sizes at other retailers.
Do you know that they pay a VERY generous wage plus benefits even though they’ve been advised that they can make MUCH MORE profit by screwing their employees? They refuse to do it. My friend works there as a cashier and STARTED at more than $11.00/hour.
You are obviously about “truth” and I love that! You’ve noted that it is your opinion, but PLEASE I would ask that you remove the post because I’m sure you would ask another blogger remove theirs if what they posted turns out, even inadvertently, to be untrue. Costco is a good, moral, generous company and it’s been shown DEFINITIVELY that their Carrington Farm Coconut Oil is a good product.
Thanks
Sarah, The Healthy Home Economist
The reason is because Costco is able to buy large quantities of items and therefore negotiate cheap prices that smaller businesses cannot. In an effort to fill these very large orders, quality is a casualty .. not always but it is risky to buy your nutrient dense foods there .. particularly fats which is the most important part of the diet. My degree is Economics and I have studied and understand how these corporations work. I do not recommend that people buy foods critical to their health at establishments like Costco. If you disagree with me, I respect your opinion.
Wendi
Sarah, this is the coconut oil my local (Westminster, CO) Costco carries. I think it sounds pure. Am I wrong?
Sarah
Where is the research or conversations with Carrington Farms? It seems like you just slammed them because they provide for a big box retailer. I buy this oil and have never had an issue and have always been pleased with their product. They’re able to provide low prices because of the quantity. Shopping small local business is always great, but not always feasible. It doesn’t make other oils bad if they don’t come from small businesses.
Denise
Sarah, I love your blog and so do many of my friends. I will keep reading and learning. But I wish you would acknowledge errors when you make them as do most other bloggers. And several were made in this post.
Sarah, The Healthy Home Economist
Hi Denise, if you disagree with my take on coconut oil at Costco, that is fine. But, it doesn’t make my opinion on the matter wrong – just different from yours. I continue to to suspicious of the cheap products that big box retailers like Costco flood the market with (harming small businesses in the process) and I will not patronize them.
Denise
Much of the angst this post caused is because of the categorically negative and untrue statements made about a great company and a wonderful oil. It would also be nice if she admits she was wrong to do it. She’s been in error other times and she never acknowledges it.
Yes, she has a right her opinion on her blog, but she also has a responsibility to those she disseminates information to on the blog. It is always a good thing to backtrack if you make a mistake and she made a few here. She stated untruths and when corrected did not retract them.
I value her blog and will continue to read, but I wish she would be gracious enough to admit mistakes when they are made.
As for the nasty comments about the wonderful post written by a blogger correcting some of these errors – shame on you who made them. She did what was right and gave out accurate information.
Sarah, The Healthy Home Economist
Granted, Costco is obviously a sacred cow to some folks who shop there. I don’t personally choose to shop there or other big box retailers as I see them as part of the problem of unsustainability in this country. Some have a different view and I respect that.
Michelle T
I am so glad that somebody took the time to research this product, since I in fact had not. We purchase it regularly and have given it to loved ones as gifts (to introduce them to healthier fats). I have been pleased with the taste, quality and price of this product in comparison to other coconut oils we’ve purchased. I will continue purchasing the Carrington Farms coconut oil from Costco with the knowledge it is a great product. Thank you for stirring the pot on this topic so customers can learn the truth.
Amber
Hi. Just reading this post and I just wanted to say that I use Artisana coconut oil. I get it at the co-op, it always smell like delicious coconut oil. It’s not cheap. It’s about $13 for a 15oz jar. The label says Raw 100% Organic Coconut Oil and in the corner it says, “Extra Virgin.” The ingredients list says-Organic Raw Extra Virgin Coconut Oil as well.
In doing my research, I’ve discovered that there are no industry standard definitions for “extra virgin” like there are for olive oil. It is simply a way for the manufacturer to say something about the quality of the product.
Tropical Traditions, another good brand of coconut oil, has this wonderful description of coconut oil processing on their website, along with information about the virgin vs. extra virgin debate and what it really means. I found it to be a great and well informed read. I’m adding it here if anyone is interested.
http://www.tropicaltraditions.com/what_is_virgin_coconut_oil.htm
I can’t say anything about the brand at Costco but I do believe we can all have our opinions. I don’t believe that all brands marketing their coconut oil as extra virgin is trying to scam the customer or lie. If the product looks good, smells good, and tastes good, comes in a glass jar, and costs a pretty penny and says “extra virgin” and you didn’t buy it out of the back of someone’s truck, the manufacturer is probably just saying, “Hey, this is good stuff!” Still, always do your research. I can’t say for sure, but off the top of my head, all the coconut oils that I’ve seen in the coop that are raw, unrefined, organic etc. have said virgin or extra virgin. I know there are comparable brands of coconut oil at other stores as well.
Anyhow, there’s my two cents. Hope this helps somebody! Artisana is really yummy. I eat it with a spoon out of the jar!!
kerry
This is a blog people, not a scientific report. A woman, who cares about her health and cooks got a blog and you’re all treating it as if she has some responsibility as a journalist. She doesn’t! It’s YOUR responsibility to look into things and do research. She can write any damn thing she pleases and owes nothing to any of you. Please be smart enough to know what a blog is and how to use one. This should not be your go-to source for information regarding something as important as your health. Go get a blog, it take 10 minutes and they won’t send you away for being a dolt.
Denise
She owes accuracy. And an acknowledgement when it is not there.
Sarah, The Healthy Home Economist
How is what I wrote inaccurate? I posted the actual experience of a lady with a jar of bad coconut oil that should have been fine even in a plastic tub in 100F heat (this was corroborated by other readers as well .. it wasn’t just one person’s experience). I posted the feedback of 2 owners of reputable coconut oil companies as to why the coconut oil might have gone rancid. How is this in any way inaccurate? I came to a conclusion about the situation that is different from yours, but that doesn’t make me wrong – just not in agreement with your conclusions.
JGirl
You absolutely made claims about several companies that you clearly know little about – all based on a number of erroneous assumptions. How you fail to see that as inaccurate is beyond me. That takes a lot of hubris. The vast majority of the rest of us came to a different conclusion than you because we’re more interested in truth and fairness to all parties than advancing our agenda. As someone who’s very committed to shopping small businesses and local products on a chiropractic students budget, I know not to let the perfect be the enemy of the good. Costco isn’t a “sacred cow” (which by the way is so condescending) just because some value it as an option they couldn’t otherwise afford. This is only one of many times your post has been inflammatory and lacking in common sense. People new to this real food movement will read this nonsense as truth because they think you’re some kind of authority. I find that so unfortunate.
kerry
She has to defend the accuracy of her opinion? It’s a BLOG! How on earth can you be so wrapped up in the words of someone who’s credentials are… what exactly? Do you even know? This is your health, not the purchase of an appliance.(although, I have to say I feel like I have spent more time researching a new blender than you folks seem to have spent on researching your health. Do yourself a favor and spend some time doing research instead of surfing pinterest for info on something as important as your wellbeing.
I’m embarrassed for all of you, acting like a bunch of uninformed sheep. Step away from the keyboard, and get a grip on reality. Too much candy crush dilutes the brain cels.