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Market Data 21.11.2024

Food waste crisis accelerates sustainable practices across APAC food and beverage industry

The escalating food waste crisis in the Asia-Pacific region presents a significant challenge that demands urgent attention from stakeholders across the supply chain. To combat this, foodservice operators are increasingly adopting recycling …

Food waste crisis accelerates sustainable practices across APAC food and beverage industry
(Photo: GlobalData)

The escalating food waste crisis in the Asia-Pacific region presents a significant challenge that demands urgent attention from stakeholders across the supply chain. To combat this, foodservice operators are increasingly adopting recycling as a cornerstone of sustainable practices. Sustainability initiatives in the food and beverage industry include ethical sourcing, food waste reduction, and implementing composting programs and efficient waste management systems, reveals GlobalData, a leading data and analytics company.

Shravani Mali, Consumer Analyst at GlobalData, comments: “As awareness around sustainability grows, consumers increasingly prioritise ethical considerations in their purchasing decisions. Consumer demand for sustainability efforts among food service establishments and the food and beverage industry is accelerating, pushing restaurants to use more recycled materials, reduce waste and decrease their carbon footprint.

Governments across Asia have launched various initiatives to act against the crisis. These efforts reflect a growing recognition of the environmental, economic, and social implications of food waste, which is a persistent challenge across the region.

For instance, according to the Department of Climate Change, Energy, the Environment and Water in Australia, food waste is a persistent issue in the country, with an estimated 7.6 million tons of food discarded each year. Under the National Food Waste Strategy, the Australian government aims to halve the country’s food waste by 2030. Approximately 4 % of Australian food waste comes from the hospitality and foodservice sector1.

Moreover, in the Chinese municipal waste structure, approximately 50 % accounts for food waste2. As a sign of hospitality in the Chinese culture, people tend to order more food than they can eat. Prompted by these concerns, the Chinese government issued the Anti-Food Waste Law (AFWL), which aims to alleviate food waste.

Tim Hill, Key Account Director, SE Asia at GlobalData adds: “As a result of rapid urbanisation, population growth, and a complex food supply chain in APAC, there is a rising need to implement strategies to reduce food waste, thereby enhancing sustainability.”

For instance, food waste that is unsuitable for human or animal consumption such as fruit/vegetable peels and eggshells can be used to enrich the soil or as a natural fertiliser for landscapes.

Hill adds: “Additionally, redistributing excess food in collaboration with nonprofit organisations and food banks will foster a sense of responsibility towards food resources. Hence, such initiatives are expected to reflect a considerable decrease in the environmental footprint.”

Mali concludes: “The growing food waste problem in the APAC region demands immediate action and collaborative efforts across sectors to establish sustainable practices, enhance resource efficiency, and establish a resilient and responsible food system. Tackling this issue is crucial not only for environmental sustainability but also for bolstering the economic and social welfare of the APAC region.”

1CSIRO, November 2023
2Environmental Change and Security Program – Woodrow Wilson International Center for Scholars, December 2023
3GlobalData 2024 Q3 Consumer Survey – Asia & Australasia, with 6,000 respondents, published October 2024

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