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2 Notes: 2 Identification of the five drivers and the 13 initiatives was based on a review of major reputable sources on the topic including EU Fusions, WRAP, ReFED, Food and Agriculture Organization of the United Nations, Champions 12.3, and WRIB. Through our research, we have identified 13 concrete initiatives companies can take to address those five drivers and help slash the amount of food lost and wasted every year. Rather, real headway will require commitment and coordinated action from consumers, governments, NGOs, farmers, and companies.Ĭompanies that play a major role in the food value chain in particular can be catalysts for change. Certainly no one group, government, or company can make this happen. On the basis of an extensive analysis of the food value chain from production through retail and consumption, BCG has identified five drivers of the problem, issues that-if addressed-could reduce the dollar value of annual food loss and waste by nearly $700 billion and create major progress toward hitting the SDG target.
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The challenge is enormous, but there is a clear way forward. And it is difficult to imagine solving the hunger problem-some 870 million people around the world are undernourished-when so much of the global food supply is lost between the farm and the table. According to the UN’s Food and Agriculture Organization and the World Resources Institute, it accounts for 8% of global greenhouse gas emissions. The urgency reflects the fact that the food waste disaster has far-reaching implications. This massive misuse of resources is emerging as a critical global issue, with the UN’s Sustainable Development Goals setting a target of halving food loss and waste by 2030.
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And the problem is only growing: BCG estimates that by 2030 annual food loss and waste will hit 2.1 billion tons worth $1.5 trillion. To put the figure in perspective, that is ten times the mass of the island of Manhattan. 1 Notes: 1 Food and Agriculture Organization of the United Nations, Global Food Losses and Food Waste, 2011 FAOSTAT database BCG FLOW model. Each year, 1.6 billion tons of food worth about $1.2 trillion are lost or go to waste-one-third of the total amount of food produced globally.