Food Loss Analysis - Food and Agriculture Organization

1 food loss Analysis : Causes and Solutions Case studies in the small - scale Agriculture and Fisheries Subsectors Methodology May 2016 Strategic Objective 4, Output Develop tools, methodologies and indicators for assessment of the magnitude of food losses, in various subsectors ii This document is unedited and made available as presented by the FAO Global Initiative on food loss and Waste Reduction (Save food ) Working Group. The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the food and Agriculture Organization of the United Nations (FAO) concerning the legal or development status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. The mention of specific companies or products of manufacturers, whether or not these have been patented, does not imply that these have been endorsed or recommended by FAO in preference to others of a similar nature that are not mentioned.

2 The views expressed in this information product are those of the author(s) and do not necessarily reflect the views or policies of FAO. FAO, 2016 FAO encourages the use, reproduction and dissemination of material in this information product. Except where otherwise indicated, material may be copied, downloaded and printed for private study, research and teaching purposes, or for use in non-commercial products or services, provided that appropriate acknowledgement of FAO as the source and copyright holder is given and that FAO s endorsement of users views, products or services is not implied in any way. All requests for translation and adaptation rights, and for resale and other commercial use rights should be made via or addressed to FAO information products are available on the FAO website ( ) and can be purchased through iii Contents 0. Introduction .. 1 0- 1 1 0- 2 Main types of food losses.

3 2 Methods for food loss assessment and solution finding .. 3 I. Screening Method ( Screening ).. 7 I- 1 Review of secondary data and key-informant (expert) interviews .. 7 Output I- 0: List of literature and experts consulted .. 7 Output I- 1a: National production information of the subsector Actors and product flow .. 8 Output I- 1b: National production information of the subsector .. 9 Output I- 1c: food safety management mechanisms .. 10 I- 2 Selection of food Supply Chains .. 10 Output I- 2a: food supply chains in the subsector .. 11 Output I- 2b: Importance of food supply chains at national level (from I-2a) .. 11 Output I- 2c: Economic importance of food supply chains for smallholder actors (from I-2a) .. 12 I- 3 Characterization of food losses in selected FSC Critical loss Points .. 12 Output I- 3a: Flow diagram of the selected FSC .. 13 Output I- 3b: Preliminary screening of food losses in the selected FSC.

4 14 I- 4 Planning the implementation of the Survey, Sampling and Synthesis methods .. 14 Output I- 4a: Field case study implementation plan .. 14 II. Survey Method ( Survey ) .. 15 II- 1 Observations and food loss factors .. 16 II- 2 Semi-structured interviews, Key-informant interview .. 16 II- 3 Basic information about the FSC - Output II- 3b .. 16 Output II- 3a: (Intermediary) Products and conversion factors in the FSC .. 16 II- 4 Social structures in the FSC Output II-4 .. 17 II- 5 Economics of the FSC Output II-5 .. 18 II- 6 Environment-related inputs and factors in the FSC .. 18 Inputs Output II- 6a .. 18 Factors Output II- 6b .. 19 Output II- 3b: Detailed description of the food supply chain Basics .. 20 Output II- 4: Detailed description of the food supply chain Social structures .. 21 Output II- 5: Detailed description of the food supply chain Economics .. 22 Output II- 6a: Detailed description of the food supply chain Environment.

5 23 Output II- 6b: Factors for the environmental assessment .. 24 II- 7 food loss risk factors (parameters and variables).. 24 Output II- 7: food loss risk factors .. 24 II- 8 Validation of results and reporting .. 24 III . Load Tracking and Sampling Method ( Sampling ) .. 26 III-1 Screening and Survey report and data .. 26 III-2 Setting the objective .. 26 III-3 Choosing the load .. 26 III-4 Unit of measurement or Experimental unit .. 26 III-5 Sampling .. 26 III-6 Tracking .. 27 III-7 Replication .. 27 iv III-8 Quality and safety Analysis .. 27 Output III-8a: QUALITY SCORING OF food PRODUCTS .. 28 Output III-8b: QUALITY Analysis OF SAMPLED UNITS .. 28 III-9 Quantitative results .. 28 Output III-9: PRESENTATION OF LOAD TRACKING AND SAMPLING RESULTS .. 30 III-10 Quantitative / Qualitative FL, Critical loss Points (CLP), Low loss Points (LLP) .. 31 Output III-10: SUMMARY RESULT MATRIX OF food LOSSES.

6 32 IV. Solution Finding ( Synthesis ) .. 33 IV-1 The causes of food loss .. 33 Output IV-1: Cause finding diagram .. 33 IV-2 The solutions to food losses .. 34 Output IV-2a: Budget calculation for food loss reduction .. 34 Output IV-2b: Assessing social implications of specific food loss solution suggestions .. 35 IV-3 Strategies for food loss reduction .. 36 Output IV-3: Summary table of food losses, causes and solutions .. 37 ANNEX 1 Terminology .. 38 ANNEX 2 Examples of outputs .. 39 ANNEX 3 Semi-structured interviews.. 64 ANNEX 4 A brief on the food safety and quality dimension of the food loss methodology .. 67 ANNEX 5 FAO Definitional framework of food loss - February 2014 .. 69 ANNEX 6 FAO Terms of Reference for Institution / Company .. 72 1 0. Introduction The objective of this methodology for case studies of selected food supply chains is: - identification and quantification of the main causes of food losses; - Analysis of the impact and solutions to reduce food losses on their technical and eco-nomic feasibility, food quality and safety requirements, social acceptability and envi-ronmental sustainability; - concrete proposals to formulate a food loss reduction programme.

7 0-1 Concept food losses refer to the decrease in edible food mass throughout the different segments of the food supply chains production, postharvest handling, agro-processing, distribution (wholesale and retail), consumption. food losses and their prevention have an impact on the environment and climate change, food security and livelihoods for poor people, and economic development. The exact causes of food losses vary throughout the world and are very much dependent on the specific conditions and local situation in a given country, region or production area. During the recent decades numerous studies have been undertaken to assess the quantities of food losses in many countries of the world. Most of these studies were conducted at national level, and based on literature review, statistical data, and stakeholder interviews. The Analysis of literature and overall reports reveals the existent knowledge gap: while quanti-tative estimations of food losses have been produced, and there is certainty about the major causes of food losses, it is unclear what losses are the most important for specific supply chains, what is the impact of eventual solutions and which solutions are economically, environmentally and socially feasible.

8 It is clear that food loss reduction will be of great benefit to all actors in the food production and supply chains, to food security for poor people, improve climate resil-ience and make more efficient use of natural resources. However, the solution to food loss should not be more expensive than the food loss itself, should not cause any negative impact or risk on consumer s health, should not place a higher burden on the environment and greenhouse gas (GHG) emissions, should make more food available to the people that need it most, and should be socially and culturally acceptable. Understanding the impacts of food losses and as well as the solutions is important from an environmental and climate change perspective. food production systems rely on a limited nat-ural resource base along with the goods and services provided by natural ecosystems. food losses are a waste of resources and inputs and contribute to the degradation of terrestrial and aquatic ecosystem.

9 Reducing food losses will therefore help to improve efficiency and sustain-ability of food supply chains (FSC) whilst simultaneously reducing GHG emissions embedded in the losses. Furthermore, reducing losses will be key to increase the adaptive capacity to cli-mate change. However, the role of energy also has to be considered when assessing causes of, and solutions to food losses. Insufficient access to modern energy1 and technologies may have a significant influence on post-harvest losses. It is therefore important to identify the different technologies and sources of energy utilized along the supply chain in order to assess the options for climate smart technologies to reduce food losses. 1 A reliable (and ideally sustainable) source of energy. 2 Gender Analysis of the value chain allows to better understand the underlying causes of food losses from a wider perspective.

10 The different productive and social roles of men and women affect their access to productive resources, technologies and services, as well as their social status due to imbalanced power relations. This affects the efficiency in the FSC, often resulting in an increase in food losses. National and subsector-wide statistical surveys have as disadvantage that they don t zoom in to specific situations, and that the information obtained cannot be verified by real measurements. Therefore the Save food Initiative has designed the food supply chain case studies, for the most important food subsectors in developing countries. In these case studies primary and em-pirical data will be generated for the different causes of food losses, and solutions for food losses will be analysed for their feasibility. A case study is just a one-moment recording of what is happening in a specific food supply chain in a specific season; next season and in a different location the situation can be very different again.