Companies Could Save Up to $700 Billion Annually in Food Waste Costs
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Annual food waste is expected to grow explosively between now and 2030, projected the Boston Consulting Group (BCG) in a new report. “Roughly one-third of the food produced around the world goes to waste,” says Esben Hegnsholt, a BCG partner and co-author of the report. “This represents a challenge so massive that it was included in the United Nations’ Sustainable Development Goals. But while it is a daunting problem, there are steps that can be taken today, actions that draw on currently available technology and know-how, to dramatically slash food loss and waste across the value chain.” While food waste and loss are expected to reach 2.1 billion tons, worth $1.5 trillion, by 2030, by taking assertive action, companies, agricultural players, governments and others can take steps that could save up to $700 billion in food waste annually. The report identified initiatives companies can take to address the issue, including:
Educating farmers, consumers, and company employees on the issue of food loss and waste and steps they can take to reduce it.
Improving supply chain infrastructure for the food industry, including investment in cold chain systems.
Adopting digital, big data, and other tools to slash loss and waste and developing company KPIs and processes to drive reductions.
Improving collaboration across the food value chain, including between agricultural producers and food processors.
Advocating for changes to regulations and tax policies that would reduce loss and waste and encourage the repurposing and recycling of food.
A copy of the report can be downloaded here.