The global cost of food waste will reach $540 billion in 2026

Food waste will continue to have a significant economic impact in 2026, with an estimated global cost of $540 billion (approximately €460 billion) throughout the supply chain, from processing to the point of sale, according to a report published by Avery Dennison.

The study indicates that this cost represents, on average, 33% of total revenue in the food retail sector, highlighting the magnitude of a problem that continues to erode profit margins.

One of the main factors identified is a lack of foresight in the supply chain. Sixty-one percent of industry leaders admit to not having a complete picture of where waste occurs, hindering the implementation of effective measures. Furthermore, transportation remains one of the main blind spots, with 56% of companies admitting they are unaware of the volume of losses during this phase.

The report, based on research with 3,500 retailers and supply chain managers worldwide, also identifies the most problematic categories. Meat tops the list, cited by 50% of respondents, followed by fruits and vegetables (45%) and bakery products (28%). In economic terms, meat waste will reach $94 billion this year, nearly a fifth of the total.

Furthermore, 51% of business leaders in the sector point to inventory management and overstocking as key factors in food waste generation, highlighting the need to improve product visibility, demand forecasting, and real-time shelf-life management.

If current trends continue, the cumulative cost of food waste between 2025 and 2030 could reach $3.4 trillion, while the United Nations aims to halve global food waste by that year. In fact, 27% of industry leaders acknowledge they will not meet this target.

The report also highlights that the problem intensifies during peak demand periods, such as the holiday season. More than two-thirds of companies (67%) anticipate that meat waste will reduce their profit margins during this time, while 69% consider its management to have become a growing operational concern.

In this context, factors such as inflation, economic volatility, and shifts in consumer demand exacerbate the situation. 74% of retailers state that inflation makes it difficult to forecast demand for fresh meat, and 73% observe an increased preference for smaller portions or alternatives.

The report concludes that addressing food waste requires a combination of technological innovation, greater supply chain visibility, and collaboration among stakeholders. According to the data collected, 73% of business leaders believe that reducing waste is not only a matter of sustainability but also an opportunity for growth and efficiency within the industry.

AVERY DENNISON