Wednesday, July 13, 2016

Capitalism - What a waste

Vast quantities of fresh produce grown in the US are left in the field to rot, fed to livestock or hauled directly from the field to landfill, because of unrealistic and unyielding cosmetic standards, according to official data and interviews with dozens of farmers, packers, truckers, researchers, campaigners and government officials. Americans throw away almost as much food as they eat because of a “cult of perfection”, deepening hunger and poverty, and inflicting a heavy toll on the environment.

“It’s all about blemish-free produce,” says Jay Johnson, who ships fresh fruit and vegetables from North Carolina and central Florida. “What happens in our business today is that it is either perfect, or it gets rejected. It is perfect to them, or they turn it down. And then you are stuck.” 

“There are a lot of people who are hungry and malnourished, including in the US. My guess is probably 5-10% of the population are still hungry – they still do not have enough to eat,” said Shenggen Fan, the director general of the International Food Policy Research Institute in Washington. “That is why food waste, food loss matters a great deal. People are still hungry.”

Roger Gordon, who founded the Food Cowboy startup to rescue and re-route rejected produce, believes that the waste is built into the economics of food production. Fresh produce accounts for 15% of supermarket profits, he argued. “If you and I reduced fresh produce waste by 50% like [the US agriculture secretary] Vilsack wants us to do, then supermarkets would go from a 1.5% profit margin to 0.7%,” he said. “And if we were to lose 50% of consumer waste, then we would lose about $250bn in economic activity that would go away.”

“I can tell you for a fact that I have delivered products to supermarkets that was [sic] absolutely gorgeous and because their sales were slow, the last two days they didn’t take my product and they sent it back to me,” said the owner of a mid-size east coast trucking company.  “They will dig through 50 cases to find one bad head of lettuce and say: ‘I am not taking your lettuce when that lettuce would pass a USDA inspection.’ But as the farmer told you, there is nothing you can do, because if you use the Paca [Perishable Agricultural Commodities Act of 1930] on them, they are never going to buy from you again. Are you going to jeopardise $5m in sales over an $8,000 load?”

“These big growers do not want to piss off retailers. They don’t enforce Paca on Safeway, Walmart or Costco,” said Ron Clark, who spent more than 20 years working with farmers and food banks before co-founding Imperfect Produce.  “They are just not going to call because that will be the last order they will ever sell to them. That’s their fear. They are really in a pickle.”

Researchers acknowledge there is as yet no clear accounting of food loss in the US, although thinktanks such as the World Resources Institute are working towards a more accurate reckoning. But one government tally, states about 60m tonnes of produce worth about $160bn (£119bn), is wasted by retailers and consumers every year - one third of all foodstuffs. Lost food is seen increasingly as a drag on household incomes – about $1,600 a year for a family of four – and a direct challenge to global efforts to fight hunger, poverty and climate change. Food waste accounts for about 8% of global climate pollution, more than India or Russia.

Globally, about one-third of food is wasted: 1.6bn tonnes of produce a year, with a value of about $1tn. If this wasted food were stacked in 20-cubic metre skips, it would fill 80m of them, enough to reach all the way to the moon, and encircle it once.