What is Food Waste? Food Waste: Any waste generated throughout the food cycle (Production, Processing, Distribution, End Use).
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1 What is Food Waste? Food Waste: Any generated throughout the food cycle (Production, Processing, Distribution, End Use). In the U.S., 20-40% of all food is d annually, totaling roughly 83 billion lbs of food per year. 72% is d in restaurants and homes; 60% of is easily spoilable (fruits, vegetables, meats, dairy). Annual U.S. Food Waste Disposal (83B lbs) Food Loss Type from Retail, Food Service & Households 1% 2% 42% 7% 18% 12% Produc/on (Farming) Industrial Grocery Stores Full Service Restaurants Quick Service Restaurants Ins/tu/onal Residen/al 8% 14% 7% 18% 22% 19% Fresh Fruits and Vegetables Dairy Meat, Poultry and Fish Grain Products Caloric Sweetners Processed Fruits and Vegetables Fats/Oils Eggs Organic Waste v. Food Waste: Organic is anything that comes from plants or animals that is biodegradable. This includes food, but also includes things like yard clippings. Many cities, such as New York City and San Francisco, enacted policies that address the broader umbrella of organic. Source: Wasted, NRDC, 2012; Food Waste: Tier 1 Assessment, BSR (Prepared for GMA/FMI), 2012
2 Food Waste is a Multi-Faceted Problem Food Waste s cross-cutting social, economic and environmental impacts can be addressed through existing foundation programs, government programs or non-profits. Foundation / NGO / Gov t Focus Connection to Food Waste Climate Change Healthy Communities Sustainable Agriculture Water / Energy 16% of U.S. methane emissions are caused by food in landfills. If food was a country, it would be the 3 rd largest GHG emitter. Food recovery can be a significant complement to SNAP nutritional assistance programs and be more cost-effective. Increase farmer profitability, by reducing in-field spoilage. Reduction of farm inputs (pesticides, fertilizers, water). Food represents 25% of US water use and 4% of oil use. 1 in 6 Americans are food insecure 16% of Methane Emissions 25% of Freshwater 4% of Oil Produce, transport and dispose food that is never eaten Resilient Economies Use resources more efficiently. Food causes $165B in d value and $1B in disposal costs. Source: Wasted, NRDC, 2012; Feeding America
3 Why Now? Philanthropic and investment capital can build upon converging policy, awareness and technology trends to achieve meaningful reduction in the next 10 years. Awareness 5+ NGO reports over the past 3 years Rising food prices New understanding of the massive environmental footprint of food Reduced food stamp funding, increasing number of food insecure Americans Food increased 50% since 1970 in the United States Policy Landfill organics bans Voluntary composting programs European leadership shows coordinated, dedicated effort can result in significant food reduction Policy Opportunity to reduce food Mobile applications Data analytics Processing development Food preservation Technology Source: Wasted, NRDC, 2012; Feeding America
4 Types of Diversion: Reduce, Recover, Recycle To maximize cost effective environmental and social benefits, prioritize: 1) Reduction (Prevention), 2) Recovery (Rescue), 3) Recycling (Reuse) Three core methods to divert food from landfills: Reduction Prevent by reducing the volume of surplus food generated. Recovery Collect quality food for distribution, with an emphasis on the hungry. Recycle Divert food from landfills for animal feed, industrial use, or compost. Food Recovery Hierarchy Examples Reduce: Increase food freshness to reduce spoilage Recover: Direct or create new products (eg jams) Recycle: Hog or chicken feed Recycle: Anaerobic Digestion ( to energy) Recycle: Nutrient rich soil amendment Remaining Waste Source: U.S. EPA Food Recovery Challenge
5 Vision, Goals and Strategies Vision 10 year impact investing strategy to reduce food in landfills by 30% Goals Reduce 6% of current food Recover 4% of current food Recycle 20% of current food Strategies Analytics, Education, Advocacy Mobile Platforms, Business Innovation Infrastructure, Advocacy Overall Need: Up to $30M philanthropic and $10M investment capital per year, unlocking $1B+ additional investment over 10 years Source: MissionPoint Analysis
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