Blueberries as a Case Study: Improved Measurement of FLW in the Supply Chain using Trade Data and Analytics

Overview of blueberries, complemented by charts from Agronometrics. Original published on September 25, 2024.

In the contemporary global economy, the journey of food from farm to fork is a complex one. The process often spans continents and can entail multiple phases of storage and transportation. Ensuring that food maintains its quality throughout this journey is becoming more significant as our world becomes more interconnected. A major challenge in this context is dealing with food loss and waste (FLW), which happens at various points along the supply chain. An efficient method to tackle this problem could be utilizing global trade data to assess FLW, particularly for high-value commodities such as blueberries.

The Increasing Significance of Blueberries in the Global Market

The global blueberry market is an evolving sector, currently valued at USD 10.4 billion and expected to reach USD 13.4 billion by 2027. Blueberries are deemed the second most economically significant soft fruit worldwide. 95 percent of blueberry exports are transported via ocean freight and are often shipped over long supply chains. These lengthy supply routes often lead to food loss.

Using Trade Data to Measure Food Loss and Waste

An inventive approach to gauging FLW, currently in its initial research phases, involves examining discrepancies in global trade data, comparing the export quantities declared by exporting nations with the import quantities logged by importing nations to offer a window into the  losses occurring during transit. This tactic could offer a clearer picture of where and when food loss happens and could allow for tailored measures to reduce it efficiently. 

For example, in the trade of blueberries between Peru and the United States—Peru being the world’s largest exporter and the US its largest importer—trade data revealed an average loss of 8.49 percent in the 2022/23 season. This figure translates to over 17,400 kilograms of blueberries lost during transit. There were comparable trends in the trade between Peru and the Netherlands  where losses amounted to almost 13.18 percent. These losses emphasize the importance of improving logistics and handling procedures across the supply chain. 

Potential Pitfalls

The data reveals a consistent discrepancy where Canadian blueberry imports consistently exceed US exports across all observed years. This pattern suggests an overestimation of imported amounts or an underestimation of export numbers that could indicate potential data recording discrepancies on either end of the trade relationship. Importantly the difference between imports and exports has grown over time with significant variations noticeable, in recent years. The increasing gap underscores the importance of reviewing trade information and indicates possible challenges with the consistency of trade reporting methods, between the United States and Canada in the context of Blueberry trade. 

Benefits of using the Global Trade Data Methodology

The use of trade data to gauge FLW could offer several key benefits:

• Efficiency and Cost-Effectiveness: Typical methods of measuring food loss often rely on costly surveys or inspections. On the other hand of the spectrum, trade data could be a convenient and economical means of tracking food movements across borders.

• Comprehensive Coverage: Trade data encompasses an array of products and regions, offering a complete picture of global food supply chains using the Harmonized Shipping Code (HS) system. This standardized approach allows for consistent and comparable measurements of FLW.

• Actionable Insights: Insights that can guide targeted strategies to reduce waste are crucial. For instance, improvements in cold chain logistics or the introduction of more resilient varieties of blueberries could significantly reduce losses, thereby improving both profitability and sustainability.

Challenges 

Utilizing trade data to assess FLWs has potential. However various obstacles need to be overcome to fully leverage its benefits.

• Inconsistencies in Data: The precision of trading data may differ based on the reporting practices of different countries. Discrepancies can distort results and should be rectified through standardized reporting practices.

• Mechanics of FLW: To improve the reliability of FLW measurements, it is essential to delve deeper into the intricacies of food loss during transportation. Engaging with government agencies, industry participants, and logistics providers can shed light on the underlying causes of these losses resulting in better data collection practices. 

The use of trade data to assess FLW is still a nascent concept, but the potential for its expansion could be vast. Broadening this research to include more countries and a wider array of commodities could lead to deeper insights into the viability of this approach to measure FLW on a global scale. Moreover, examining data disaggregated by season or region could reveal patterns indicating certain periods or places susceptible to losses. Collaboration with organizations, government entities and industry stakeholders could be highly beneficial in supporting this endeavor. By harnessing this data, it could be possible to uncover fresh insights into the dynamics of food distribution, identify areas for improvement, and introduce measures to minimize FLW. In light of the global concerns around food security and sustainability, it is crucial to recognize the significance of pioneering strategies such as this one. With continued research and collaboration, the future of FLW measurement looks promising and presents an opportunity to make a substantial impact in curbing food wastage worldwide. 

The News in Charts is a collection of stories from the industry complemented by charts from Agronometrics to help better tell their story.

Access the original article with this (Link)