Globally, 1.2 billion tonnes, or about 15% of food produced, is wasted before it leaves the farm. That's a large amount of produce that could feed millions. In global food production, food waste represents a significant challenge and places a huge strain on natural resources.

Due to miscoordination among stakeholders along the food supply chain, food is wasted from the initial manufacturing stages to final consumption. Food waste impacts the economy, the environment, and society. Combined with rapid urbanisation and population increase, it's a recipe for disaster.

Diagnosing the issue

Zero hunger and sustainable consumption are among the United Nations' Sustainable Development Goals (SDGs). There's increasing recognition that food waste is a significant global sustainability concern. Throughout its lifecycle, from production to consumption, food directly affects the environment. According to some estimates, the food business is responsible for about 22% of the world's greenhouse emissions and 30% of energy use.

Unlike typical everyday products, food waste is tied to societal issues like eating habits, diets, and cultural traditions. Global food consumption changes due to rising wages, urbanisation, and diets that include more processed and animal-based food. It's intertwined with issues like unequal access to food, contributing to health issues like obesity, particularly in developed countries.

To better understand food waste, we need to look at the supply chain. Take a cup of coffee, for example. The usual ingredients are milk, sugar, coffee beans, and water. Now, consider their supply chains and the resources needed - greenhouse gases are emitted through farming, packaging, transportation, and distribution.

Changing perceptions

Many stakeholders in the supply chain didn't pay much attention to food waste since they considered it an unavoidable cost of business. But that's changing. Here's why:

Awareness: Rising food prices have pressured consumers and businesses to develop solutions to minimise food waste. For companies, it's also about protecting their profit margins.

Regulations: Governments and policymakers are increasingly mandating strict reporting on food waste throughout the supply chain. In Berlin, for example, companies should publicly disclose progress on reducing food waste. In France, supermarkets are mandated to donate unsold food to charities.

Sustainability commitments: International pledges to reduce food waste loom large. It's challenging the supply chain, from farmers to retailers, to adopt sustainable methods.

Strategies to reduce food waste

As highlighted, every step of the supply chain, from initial agricultural production to final consumption, results in food waste. In developed countries, this is usually concentrated at the consumption stage. While it's sometimes difficult to identify gaps in the supply chain, there are actionable methods to reduce food waste.

Supply chain management: This involves planning, purchasing, and storing food. Planning, in particular, is vital since it determines what and how much food should be produced. For example, in restaurants and eateries, menus should be designed considering food waste.

Changing mindsets: Everyone across the supply chain should be educated about reducing food waste. Awareness campaigns can study consumer patterns and draw attention to the issue. Companies should prioritise publicising information on their food supply chains and how they reduce food waste.

Policies: Outside the supply chain, regulations, legislation, and policies need to mandate that all stakeholders reduce food waste. Governments should set up food banks to help redistribute food from post-harvest phases and unsold food from merchants.

Challenges to progress

Despite increased awareness to reduce food waste, several obstacles slow the pace of change.

Limited digitisation: Large retailers, farmers, and suppliers have adopted digital tools. However, the same can't be said for small and mid-size ones. This also plays out geographically between countries and continents. This gap needs to be bridged.

Ineffective quality control: Limited spot quality checks for produce are subjective and inefficient. These only assess a relatively small sample which often leads to inconsistent decisions that can result in discarding entire shipments.

Behavioural and cultural habits: Changing methodologies in global and highly interconnected operations can be challenging. In some cases, like longstanding family businesses where margins remain stable despite waste, there's no incentive to adopt new technologies.

A necessary discussion

Minimising and eliminating food waste isn't only about meeting sustainable goals or adhering to regulatory mandates. It's also a business opportunity. The agri-food sector can reduce food waste by adopting technology, working with startups, and sharing best practices with others.

At Smart Grow Farms, we're committed to ensuring that farmers and producers get the most out of what's available while efficiently using all resources.