Reducing Food Loss Through Careful Collaboration

By Melissa Lind, contributing writer

As the volume of global food shipments has dramatically increased over the last several years, the amount of food waste through spoilage has increased at nearly the same rate.  Producers, suppliers, and transporters can minimize the risk through effective communication with clear cut goals and performance indicators.

An estimated $35 billion in food shipments are lost each year due to spoilage and certain sectors of the food-supply chain are more-heavily affected than others. The fish industry loses 10 to12 million tons of products per year, while produce suppliers — while able to discount some losses — are in danger of losing more than 30 percent of crops. The beef and pork industries don’t escape the losses, coming in with an estimated 80 thousand pigs lost each year due to stress from shipping. Studies have shown that a single infection vector, such as a bioterrorism attack on U.S. cattle production, could cause the loss of nearly one-quarter of a million cattle in just over a week.

Improving QA In The Meat And Seafood Cold Chain

At both ends of the food-supply chain the risk is apparent.  One of the main factors in food loss is the quality of transportation logistics.  Though the industry and government authorities are aware of the need for international standards, some countries just aren’t up to the bar yet. The supply-chain industry is faced with the task of ensuring security and traceability from source to plate through adequate supervision, and practices that not only prevent spoilage, but also decreases chances of contamination. Remaining competitive is crucial, but so is minimizing losses. Supply-chain managers need to concentrate time, money, and efforts in a delicate balance across all the right areas. 

Selecting The Most-Reliable Partners
Ideally, you will have your own transport fleet, but this is not a reality for most food producers.  There are a multitude of external service providers and transporters. You need to ensure that there is a good fit when choosing one.  It may be necessary to conduct an in-depth evaluation of each company’s capabilities, experience, and track record.  Asking for references and evaluating policies can help ensure that the vendor meets your needs.  Make sure that any provided references are actually checked, as this is a common missed step.

Defining Your Relationship
Many in the food industry — and other industries as well — like to make “handshake agreements.” While this may have been acceptable in the past, it leaves little recourse if something goes amiss.  Getting your agreement in writing, in the form of a contract, can help to ensure that your vision of success is compatible with your service provider’s vision.

Monitoring Your Partnership
It is imperative that both parties are vested in the relationship.  Collaborative efforts will help to minimize the impact of unexpected events.  Consistent evaluations of performance on both the producer’s side and the transport vendor will ensure that performance is maintained and costs are not driven up.

Measuring Real Data
Besides monitoring the quality of the relationship, using actual metrics and performance indicators to evaluate performance will provide early identification of issues.  Early identification can save time and money as correction can be implemented right away.

Guest Column: How Traceability Technologies Connect The Food-Safety Dots

Risk in the food-supply chain is something that has no chance of going away. As even more food is sourced from distant locales, the risk will continue to rise.  Current and future technology may provide some assistance in reducing loss, but hardened logistics will lower your company’s liability.