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The cost of food waste 

April 15, 2025 by Administrator

Food waste amasses huge environmental pollution from greenhouse gas emissions and financial consequences from resource waste in businesses. In the United States alone, the hunger crisis affects more than 54 million people.  

In this article, we draw attention to the shocking statistics of food waste in the US, outline the environmental impacts of food waste and food loss, and highlight the cost to businesses operating in the food industry. 
 

What is food waste and food loss? 

Food waste is generated by the food businesses and households throw away.  

The majority of food waste comes from: 

  • Supermarkets who are continuously disposing of expired food on their shelves 
  • Restaurants and other food establishments who throw away fresh food or customer leftovers 
  • General households who throw away edible and inedible food 

Similarly, food can also be lost during the production process from farms to plates. Throughout these stages of the production lifecycle, food loss can occur in a variety of ways: 

  • Food grown in farms, allotments, and factories could die or not grow at all 
  • Ripe ingredients processed and packaged for transportation could be stored incorrectly, leading to rotten or badly bruised food 

Food products priced and sold in stores could stay on shelves past their sell-by date 
 

Food waste in the United States 

As of 2025, the United States wastes an estimated 60 million tons of food every year, equating to almost 40% of the US food supply.   

In the UN’s Food Waste Index Report 2024, the United Nations categorizes this food waste by sector between Canada and the US, as reported by the Environmental Protection Agency (EPA):

Country Sector Food waste estimate by kg/capita/year 
Canada Household 79 
Food service 80 
Retail 30 
United States Household 73 
Food service 74 
Retail 12 

The Food and Agriculture Organisation of the United Nations (FAO) found that middle to high income countries contribute to food waste nearer the end of the food’s lifecycle, at supermarkets and households. Contrastingly, developing countries tend to contribute to rates of food loss, as ingredients are wasted due to a lack of suitable storage facilities, hot or unpredictable weather patterns, and economic difficulties during the farming process.

How does food waste impact the environment? 

Food waste has a surprising ricochet of damaging impacts for the environment, triggering food poverty and insecurity, air pollution and consequent health difficulties, and resource waste. 
 

Food poverty 

When edible food is thrown away, the chance to feed hungry children and families is lost. In 2023, 13.5% of US households, amounting to 18 million, suffered from food insecurity. 
 

Air pollution 

The UN’s Food Waste Index Report published that food waste and food loss generates up to 10% of global greenhouse gas emissions. When food is disposed of in landfill, it can release harmful toxins which pollute our air, water, and soil.  

In addition to risking public health, environmental pollution can have dramatic effects on our climate, melting ice and increasing sea levels; heightening the risk of floods, droughts, and wildfires; acidifying oceans which can harm aquatic life and ecosystems; and damaging land and habitats. 

Waste of resources 

Time, money, effort, water, energy, and fuel are all wasted when food is thrown away or lost during its production. 

  • Water for plants and crops, cattle and poultry, and fish could be wasted. The Natural Resources Defense Council estimates USD 172 billion is lost in wasted water during the production of food 
  • Energy for growing, packing, and storage facilities goes to waste when food loss occurs 
  • Fuel for machinery, facilities, and transportation of food is ultimately wasted in the process if food goes rotten 

Natural resources are also at risk of exploitation, as non-arable land is converted for livestock, destroying our natural scenery 
 
 

The cost of food waste to businesses 

The environmental cost of food waste is huge, but equally, the economy suffers massively from the effects of wasted resources. Businesses can suffer from both financial loss and damage to their brand and reputation. 

In the United States, it’s estimated that food waste costs USD 218 billion. Further, Feeding America, a nonprofit organization, reports that American citizens waste over USD 408 billion on food every year. 

Kroger, a supermarket chain in the US, claims that food waste represents 4% (USD 5.6 billion) of their USD 140 billion sales revenue, with the average grocery store disposing of between USD 5,000 and USD 10,000 worth of food each week. This triggers further economic issues with tax deductions.  

For businesses operating in the food sector, such as restaurants and cafes, food waste can have huge impacts on primary finances. These companies can lose money on food loss at the farming, packaging, or transportation stages, as well as face legal fines for non-compliance with local or regional food waste prevention legislation.  

In addition to financial damages, failing to comply with food waste management regulations or becoming known as a business that throws away food can result in reputational and brand damage. Companies may lose business from distrustful consumers. 
 

How is food waste being addressed in the US? 

Regions around the world have implemented policies, initiatives, and legislation to manage food waste, and prevent food waste and loss. Review the leading schemes in the United States.

2030 Food Loss and Waste Reduction Goal 

The 2030 Food Loss and Waste Reduction Goal was announced by the US Department of Agriculture (USDA) and US Environmental Protection Agency (EPA) in 2015. 

The scheme aims to cut food waste and loss by 50% by 2030 to, ultimately, reduce climate change impacts and food insecurity. The EPA hopes to achieve this by partnering with leaders in the food system to promote more sustainable management of food. 
 

National Strategy for reducing food loss and waste and recycling organics 

In 2024, the National Strategy was published to accelerate efforts to meet the 2030 goal to prevent food waste, reduce food loss, increase recycling for organic waste, and encourage companies to join the initiative. 
 
 

Manage evolving food regulations in the United States 

RegScan’s EHS Alerts can send customizable alerts directly to your inbox, based on your tailored search criteria. Receive daily alerts by keyword, jurisdiction, rule, agency, or title. For example, your business can set up to receive notices on both federal and state level regulatory activity concerning food waste management. 

Stay compliant and sustainable with EHS Alerts. 

Find out more 
 

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