To reduce the massive amount of waste sent to landfills, businesses throughout the food supply chain are striving to not only prevent but significantly reduce waste. Grower-shippers, processors, distributors, retailers, and restauranteurs are discovering new ways to recycle, compost, and repurpose foods, including aging or imperfect fruits and vegetables, and fresh-cut leftovers.
While such initiatives are not new, environmentally-conscious shoppers continue to pressure retailers and foodservice operators to hold their suppliers accountable and to reduce their own carbon footprints. This includes more responsible food management and better packaging, such as more recyclable containers and the use of less material to decrease weight and waste.
Part of the equation is labeling, and federal labeling requirements are undergoing a facelift. In December, the U.S. Department of Agriculture (USDA) issued updated information and guidance on “Best if Used By” food labels designed to reduce waste by food manufacturers and retailers. The use of “Sell-by” and “Use-by” phrases has confused shoppers and caused otherwise wholesome and safe food to be prematurely disposed. Bottom line: everyone would rather feed people than landfills.
Sustainability Audits
There are many ways businesses on both the buy and sell sides can reduce waste. Some undergo sustainability audits, which not only measure success but provide feedback on waste reduction efforts. These audits are becoming a prerequisite to doing business with some national retail chains, like Walmart and Whole Foods, or consolidated buyers such as Pro*Act, says Nikki Rodoni, founder and chief executive officer of Salinas, CA-based Measure to Improve.
While these measures aren’t being dictated or mandated across the board yet, Rodoni says many buyers are moving in this direction. “They’re guiding buyer decisions based on companies’ sustainability efforts, which is ultimately what consumers want,” she explains, adding consumers “want to know about not only quality and safety, but if there’s some sort of environmental integrity.”
In the marketplace, such efforts are appreciated but not necessarily profitable, as few buyers are willing to pay a premium for sustainably-produced items. “For a number of years, we’ve seen customers wanting to see you’re doing something,” explains Laura Hamman, sustainability manager of Gills Onions, LLC in Oxnard, CA. However, she says, “They don’t necessarily want to pay for it.”
Houweling’s Tomatoes recently underwent a sustainability index focusing on food waste requested by one of its retail customers. The intensive process involved examining expected production and sales to arrive at a crop efficiency score for a single year-round crop. The results showed the Camarillo, CA-based greenhouse grower-shipper managed waste well, says David Bell, Houweling’s chief marketing officer.
Houweling’s index was at more than 90 percent in terms of sustainability. A percentage of the balance was lost to overpacking (the additional weight put in cartons to account for evaporative weight loss during transit). Of the small percentage related to waste, a quarter was due to inefficiency while another quarter was culled product, with the remainder donated or composted.
