The economics of food loss and waste

Food loss and waste (FLW) presents many challenges in the global food system. In this chapter, we discuss several key topics related to the economics of FLW, including how FLW is defined; primary and secondary data collection methods used to measure and quantify FLW; theoretical and empirical economic models of FLW (from the demand and supply side) that consider why FLW may happen at different points in the supply chain; analysis of the market-level impacts of FLW; assessment of the costs and benefits of potential interventions to reduce FLW; and how to conduct a cost-effectiveness or cost‚-benefit analysis of FLW reduction efforts. We also present current gaps in FLW research where economists are well-positioned to contribute such as assessing the long-term impacts of FLW interventions; quantifying trade-offs, spillover effects, and co-benefits of FLW interventions; and examining the distribution of costs and benefits associated with FLW interventions.