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About 1.3 billion tons of food is wasted around the world each year, with 70% of this number never having even reached the consumer’s plate. This problem begins in the food supply systems. Wasted food correlates to the loss of quality products and thinner margins in the Food business. This challenge has always had an adverse impact on the company's profitability. Beyond commercial interests, food wastage is a threat to global food security and is a collective sociological and environmental issue for humanity.
The common reasons for food wastage through the supply chain are spoilage, cross-contamination, inappropriate storage, output loss, and overstocking. These factors can potentially cost even loss-resistant food manufacturers and merchants unbearable financial losses. Nobody can be solely blamed for this global issue and it's everyone's moral responsibility to tackle the challenge of food waste.
If food companies work towards constructive measures to reduce food losses it will benefit them with increased profits and help them gain a positive brand image for being environmentally conscious.
Here are some ways to tackle food losses on the Food Manufacturers’ end:
You can closely monitor spoilage and expiry of Ingredients with better procedures and technology by speeding up the production process and allowing less time for food spoilage. Enterprise Resource Planning (ERP) software built for the food industry can track the shelf life of products using a first expiry. You can apply the First Expire First Out (FEFO) approach so that products aren’t left to spoil before being used for production. Faster production and moving out the stock in the supply chain can effectively prevent ingredients' spoilage.
The problem of overstocking begins with the fear of expiration and spoilage in distribution and stocking. As the supply can fluctuate anytime in the food industry, overstocking can cause financial losses and food waste to a greater extent. Using Data Analytics and AI-enabled Software and Dashboards to forecast consumer needs can turn out beneficial in the long run.
Improper storage of ingredients creates the risk of cross-contamination. As consumers demand more foods free of allergens, gluten, GMOs or other ingredients, the occurrence of cross-contamination has increased while the companies rush to fulfil the demand. Effective Handling Protocols and better warehouse management with food safety plans can help reduce cross-contamination.
ERP System which provides end-to-end visibility of the area and process that makes the most production losses can keep the management informed and plan corrective actions towards food wastage. Here are some emerging technologies that will tackle food waste in the present and the future:
In short, tackling food waste in better ways is possible with the help of an expert food processing equipment manufacturer. With the right set of processing equipment, you can save a lot of money by reducing the cost of raw materials and increasing efficiency in the production process. Customers look for and prefer ethically manufactured food products, so tackling waste has become obligatory with awareness about sustainability.
Above all, the expert food processing equipment manufacturer will help you reduce food losses and make sure that, as a food manufacturer, you are a contributor to encounter the hunger crisis and not lead to them.