Industry Leadership to Reduce Food Waste. Jerry Lynch VP, Chief Sustainability Officer General Mills NCSL Webinar September 20, 2013
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1 Industry Leadership to Reduce Food Waste Jerry Lynch VP, Chief Sustainability Officer General Mills NCSL Webinar September 20, 2013
2 Agenda General Mills Nourishing the Planet Defining the Problem of Food Waste Scope; Organics to Landfill Addressing Food Security Industry Leadership: Food Waste Reduction Alliance Update General Mills Commitments to Reducing Food Waste Continued leadership in source reduction USDA Challenge Looking forward 2
3 General Mills Brands 3
4 Nourishing Our Planet Began using recycled materials for paperboard cartons (1930s) Early crop rotation adopters First vacuum-pack corn in 1929 Early pesticide management adopters 1945 General Mills Foundation % vitamin-fortified cereal in 1961 Green Giant Integrated Pest Management Purchased in 2000 Commits to 100% Sustainable palm oil by 2015 First Global Sustainability Officer in
5 2015 Goals Energy, water usage and greenhouse gas emissions Transportation fuel * Packaging improvements Solid waste generation 5
6 Alleviating Hunger Foundation Grants: Nearly $11 million to hunger relief organizations in GMI communities around the world PDAT: Cross-functional team working in partnership with Feeding America to maximize product donations and reduce destruction Food Drive: F12 Record Breaking Drive +126,000 pounds/dollars donated by GMI employees and retirees 6
7 thousands of tons Food Waste is BIG Issue 2011 MSW discard data from EPA Yard Trimmings 9% Misc Inorganic Wastes 2% Organic materials continue to be the largest component of municipal solid waste in the U.S. Food Scraps 21% Other wastes 0% Other 4.4% Wood 8% Textiles 11% Paper and paperboard 15% Ferrous 7% Plastics 18% Rubber and Leather 4% Glass 5% Metals 0% Aluminum 2% Other nonferrous 0% GHG generated from landfills (est) food waste Packaging waste 7
8 Food Weight (US Tons) N/A 550,000 13,187,555 Total Diversion 3,300,000 Total Disposal Assessment: Defining Food Waste Generation Vs. Disposal 4,043,489 Total Generation 39,686,955 60,767,998 Occurs when an edible item goes unconsumed as a result of human action or inaction and is often the result of a decision made by business, government, or consumers. Food Waste Recovery Hierarchy Source Reduction Reduce the volume of food waste generated Feed Hungry People Donate extra food to food banks, soup kitchens and shelters 21,081,044 Feed Animals Divert food scraps to animal feed Industrial Uses Provide waste oils for rendering and fuel conversion; and food scraps for digestion to recover energy Composting Create a nutrient-rich soil amendment Landfill/ Incineration Last resort for disposal 8 Food Waste Diversion Food Waste Disposal The portion of food waste that is sent to landfill or incineration This data is an estimate of estimates. Numerous data gaps exist and a number of assumptions and extrapolations have been made in order to derive these numbers. The calculation is based on a combination of secondary data from multiple sources. Note: the scope is only from processor to consumer 8
9 Food Waste is a Global Issue 9
10 Industry Leadership: Food Waste Reduction Alliance Goals Outcomes 1. Reduce Food Waste to Landfill 1. Best Practices Identification & Training 2. Increase Food Donation to Hungry 2. Emerging Solutions Pilots 3. Efficient Policy Support 10
11 FWRA Strategy Best Assess State of Industry, Opportunities Barriers Identify and Share Best Practices And Emerging Solutions Work With All Stakeholders on Solutions 11
12 Internal & external barriers limit food waste diversion Transportation constraints, liability concerns & insufficient recycling options are the most common barriers to greater donation & recycling. Are there barriers, either internal or external, that prevent your company from donating more unsalable food? Transportation constraints Yes: 77% No: 23% Manuf. 1 Ret/Whol. 1 63% 42% Liability concerns 50% 67% Insufficient storage/ refrigeration at food bank Regulatory constraints Insufficient storage/ refrigeration onsite 50% 50% 50% 17% 38% 33% Are there barriers, either internal or external, that prevent your comp reusing and recycling more food waste? Insufficient recycling options Transportation constraints Yes: 88% No: 12% Manuf. 1 Ret/Whol. 1 91% 83% 73% 75% Liability concerns 55% 50% Food safety concerns for collection and storage 36% 50% 1 among respondents who indicated that barriers are present 12 12
13 Top 3 Best Practices Conduct waste characterization assessment - what resources are being wasted and what are the root causes (policy, process, practices). Establish standard procedures (SOP's) related to donations and diversion - clear process and procedures for food safety, quality and quantity. Develop/Strengthen relationships with donation agencies & diversion partners - move beyond transactions to collaborations (solutions for nontraditional material streams). 13
14 2014 FWRA Goals Complete and share best practices toolkit with the industries Share second industry assessment on food waste for retail/suppliers Complete and share first industry assessment on restaurants 14
15 General Mills: Committed to Action Product Donations Action Team A cross-functional team of employees working in partnership with Feeding America to maximize product donations Objectives: Alleviate Hunger. Reduce Product Destruction, Waste & Associated Costs. Maximize Tax Deductions/Credits. Raise Awareness of Policies & Feeding America Partnership. Manufacturing Fire Sale Logistics QRO Community Action Warehousing Tax & Finance 15
16 General Mills: Committed to Action 42% reduction in solid waste generation since /3 of our solid waste is food Recycle more than 90% of food waste All food waste either donated, recycled or composted Next steps: Enhanced food donation: streamline and mitigate destruction Enhanced zero loss process: standardized for waste reduction 16
17 Opportunity Review Continue to educate on scope of food waste and opportunities to change Industry leadership offers opportunities for engagement USDA/EPA food waste challenge a model for local efforts? 17
18 Our Mission and Values 18
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