Food waste in focus: climate relevance and innovative solutions from start-ups and scale-ups

Greentech expert Hellen Hohoff's guest post highlights the climate relevance of the food sector, which accounts for 8-10% of greenhouse gas emissions. Innovative startups are combating food waste and helping to redistribute surpluses in the supply chain.

When aiming for climate change targets, the focus is often rightly on the energy sector, as the intensified use of renewable energy sources and smart solutions is essential to achieve the goals. However, the food sector's significant contribution to CO2 emissions is often underestimated or even overlooked. Yet the food sector can be a huge lever:

Numerous organizations, such as the Intergovernmental Panel on Climate Change (IPCC) and the Food and Agriculture Organization of the UN (FAO), state that surplus food is responsible for significant emissions globally. More precisely, for eight to ten percent of anthropogenic greenhouse gases. To illustrate, if food waste were considered a state, it would be the third-largest emitter worldwide, with 4.4 billion metric tons of CO2 equivalents.

The impact of food handling goes beyond the carbon footprint. Resources such as water and edible food are wasted, soils are overburdened, and transport routes create high carbon footprints. In addition, food handling has a direct impact on global food security, as perfectly edible food ends up in the trash instead of being used where it is urgently needed.

The role of innovative start-ups

While each:r individual can make a contribution through conscious consumption, there are innovative solutions from startups that are tackling the giant lever of food waste. Saving food that is still edible involves many aspects: Losses can occur at different stages of the production process and places in the food supply chain. Whether it's during the initial harvesting phase, during shipping, in the processing industry or at distributors. Each of the startups listed below has taken a different, smart approach to addressing challenges in the food sector, preventing food waste and the spilling of unnecessary CO2 equivalents.

What's more, companies looking to reduce their carbon footprint and cut costs can benefit from working with such digital startups. Through partnerships with these very companies, not only can a contribution be made to the reduction of food waste in their own company, but also the requirements in terms of Scope 3 emissions can be fulfilled. In addition, such collaborations can positively contribute to the company's CSR (Corporate Social Responsibility) reporting and highlight its sustainable commitment.

Surplus food for end consumers

If there is food left over at the end of the day in retail and food service, both companies and consumers can benefit from each other through the cell phone app Too Good To Go. Too Good To Go enables consumers to purchase surplus food from businesses such as supermarkets, cafés, restaurants and bakeries in the form of "surprise bags" at greatly reduced prices. On the other hand, businesses can save their surplus products from being thrown away through the app. In 2022, the app saved nearly 79 million meals globally as a result.

The startup for the foodservice industry

Choco is dedicated to digitizing and connecting the foodservice industry. The company's goal is to enable restaurateurs to source food more efficiently and sustainably. Their innovative app allows restaurants to order directly from their existing suppliers, simplifying ordering processes, eliminating inefficiencies and reducing food waste. Choco software is used by foodservice operators and wholesalers across Europe and the US. In doing so, Choco strengthens existing relationships between foodservice operators, wholesalers and suppliers. The company believes that economic success is directly linked to a positive contribution to society and the environment.

Thoughtful planning for food producers

Founded in 2021, startup PlanerAI's mission is to reduce food waste through the use of Artificial Intelligence. The AI-based planning platform helps food producers plan quantities with precision. Using this technology, producers can predict what quantities will be needed in grocery stores in the coming days, saving them both costs, resources and time. A specialized tool called BäckerAI has already been developed to help bakeries accurately calculate their daily demand for baked goods to avoid overproduction. More specifically, the use of BäckerAI has optimized more than 10 million orders across Germany, reducing more than 278 tons of food waste.

Surplus food becomes products

RETTERGUT is a company committed to combating food waste by transforming rescued food into tasty, vegetarian and shelf-stable products such as soups, spreads and pestos. The food used for these products is often wasted because of aesthetic inadequacies, overproduction or planning errors. Depending on the particular harvest or complicated processes in the food industry, the amount of rescued products in some items may vary or the exact composition of certain products may change occasionally. As a result, RETTERGUT has processed over 300 tons of food into high quality products since 2019.

A systemic approach to redistributing high tonnages of surplus in the supply chain

And then there's SPRK.global, the spider in the web that works with all food stakeholders in the supply chain. The Berlin-based startup redistributes surplus food primarily at the beginning and in the middle of the supply chain, as this is where 60 percent of the sector's surpluses occur. Through a purpose-built B2B trading platform that increasingly uses artificial intelligence to bring together suppliers such as farmers, food producers, wholesalers and retailers with off-take partners such as restaurateurs, canteens, the food processing industry and NGOs. The goal is to create a comprehensive ecosystem, making the global food supply chain efficient. So anyone who spontaneously needs goods, has made a mistake in quantity planning, wants to produce sustainable circular products or has food to give away can report need or demand to SPRK and thus monetize food surpluses and have them systematically redistributed or purchased at a discount. In this way, all partners work together to protect resources and the climate. And: Not only the B2B, but also a B2C approach is pursued, among other things through a partnership with Too Good To Go as SPRK partner on the B2C side, so that surplus food also ends up in surprise bags for end consumers and can be purchased at low prices. To date, SPRK has already redistributed around 4,000 tons of food. The importance of a globally efficient food supply chain cannot be overstated or overemphasized. By reducing unnecessary waste, not only can resources and water be saved, but significant amounts of greenhouse gases can be avoided, as well as food ending up where it is needed instead of producing new ones. Innovative startups like those listed above are at the forefront of making this vision a reality, playing a critical role in the fight against the climate and food crisis.

Hellen Hohoff is a renowned greentech expert specializing in environmental protection and sustainability. With her deep expertise and passion for innovative solutions, she actively contributes to addressing global environmental impacts.

Note: It should be noted that the content presented in the text reflects only the opinion and perspective of the author and does not represent a statement of Startbase's attitude.