An outbreak of the Cyclospora parasite linked to shredded iceberg lettuce has recently spread across multiple U.S. states, leading to thousands of infections and significantly impacting customer traffic at several restaurant chains.
The U.S. Centers for Disease Control and Prevention has identified the source of the outbreak as shredded iceberg lettuce supplied by Taylor Farms from Mexico and used at some Taco Bell locations. As a result, foot traffic at Taco Bell plummeted by 18.9% on July 17, significantly below its average level for the year to date.
Consumer concerns over lettuce-based products have also affected other foodservice brands. Customer visits to the salad chain Chopt declined by 10.9% and 14.3% on July 16 and 17, respectively. During the same period, restaurants like Chipotle, Cava, and Panera Bread, which feature lettuce or salads prominently on their menus, also experienced varying degrees of reduced foot traffic.
Despite this, the overall impact on the fast-food industry appears relatively contained, with industry-wide customer traffic declining by only about 1.9% on July 17. The outbreak has also triggered volatility in capital markets, with shares of restaurant companies including Cava, Chipotle, and Sweetgreen closing lower on July 20.
In response to the crisis, Taco Bell has removed the implicated lettuce from the affected locations, and Taylor Farms has initiated a voluntary recall.
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