The evidence is undeniable: against a backdrop of growing food insecurity, we’re drowning in an epidemic of food waste. Maintaining current farming and food management methods jeopardizes the health of our planet: as the global population surges, intensifying food demand coupled with the threat of more extreme weather and water scarcity looms large over the food chain.
Meanwhile, wasted food accounts for between 38% and 40% of the total food supply in the U.S. – the equivalent of around $444 billion market value, according to Bloomberg. In the EU, over 58 million tonnes of food waste are generated annually, the estimated market value is 132 billion Euros, the European Commission reports. Globally, over one-third of all food produced goes to waste: in fact, many estimates suggest that between 8-10% of the world’s human-caused greenhouse gas emissions are generated by food waste alone.
Whether measured in tonnes or in billions of revenues lost, the astronomical scale of the problem is clear. So who are the main culprits of this waste, and most importantly, what emerging solutions may help us dig our way out of the mess?
While households are responsible for nearly half the food waste, farms, manufacturing, food services, and retail account for the remaining 50% – these are the markets that Denali – one of the US’ largest waste-repurposing firms is targeting nationwide.
The firm is an active player in a systemic transition towards a more circular economy: “Denali recycled more than 2.6 billion pounds of food waste in under two years, working in partnership with over 10,500 grocers, including big names like Walmart and Kroger, as well as smaller food delivery services, like HelloFresh,” explains Todd Mathes, Denali CEO. “The firm recycles more than 10 billion pounds of organic materials each year – wastewater, sludge, plants – in addition to food.
Dairy cows consume feed that Denali makes from recycled agricultural byproducts and unsold food.
Denali collects and processes billions of pounds and gallons of both liquid and solid waste and repurposes it into new raw materials including compost, high-quality animal feed, biodiesel, and gas-for-power from anaerobic digesters. Residuals from water cleaning processes are recycled back into the agricultural industry as fertilizer alternatives – replacing a commercial fertilizer that would normally be derived from raw materials. “We are a happy participant in how society is evolving and becoming more responsible,” says Mathes.
With a long history in the food waste industry, Mathes holds optimism for the future. He’s been involved since Denali’s inception in 2013, and even earlier with its precursor, Terra Renewal, dating back to the 1990s. Over the years, he’s witnessed a shift from mere tallying of waste to genuine efforts toward effective action: he says there are a lot of young leaders in the space, and you “see large organizations embracing sustainability requirements and using sustainability as part of their decision-making process.”
Originally known as Terra Renewal, the company started by addressing the need for water treatment in industrial processes, generating a nutrient-rich slurry as a byproduct, which was repurposed into fertilizer for farmers. Driven by the passion of a dedicated founder who tirelessly pursued acquisition targets aligned with landfill diversion goals, the company expanded into amalgamating diverse organic waste solutions into a unified network, well-equipped to serve diverse, large-scale clients across the US. “That changed our company – his desire to grow into something bigger with a much broader audience, says Mathes. “We’re continuing work on his vision today.”
Denali makes fertilizer and compost from recycled agricultural byproducts and unsold food.
Mathes takes a no-nonsense approach to fuelling the transition to a circular economy, saying that solutions simply need to make sense for companies, not just on an environmental level, but on a financial one too. The beauty of circularity is that waste reduction and recycling are good for the bottom line: waste from food manufacturers, for example, can be repurposed as a fertilizer substitute and reduce farmers’ input costs, and restaurants’ soiled cooking oil can be turned into biodiesel to power those same restaurants’ trucks.
And Denali has continued to innovate and expand its offering, its partnerships include cities’ commercial and residential composting needs, hospitality venues, food delivery services like HelloFresh, and even sports stadiums. The firm helped Phoenix divert 92.6% of the waste from the Super Bowl away from landfills and work towards the vision of the greenest Super Bowl in the event’s history. The company is working on new solutions every day; this is just the beginning of circularity.
When asked about future trends in the sector, Mathes says that re-use options continue to change and grow with fast-emerging technologies; “we’ve got our ear to the ground in that regard. Other trends include improvements in anaerobic digestion, increased fertilizer value, and new market products for organic waste.
“I see impetus at all levels primarily to reduce waste. People are saying, let’s prevent waste food in the system – and that’s good. Over time we will continue to develop solutions but I think we’ll have reduced raw material in our systems. But when it comes to the mass production of food, you’re not going to fully eliminate waste. There will always be byproducts and waste products in the system, and we’ll continue to use those.
“We believe waste should not be wasted. We are part of an infrastructure that’s needed – I think that’s important and exciting. We want to make sure the world is fed in a sustainable way.”
Denali is making a significant dent in helping to repair a broken food system: showing that it is possible to move away from linear economics which swallow the earth’s limited resources, into circular production that respects nature while boosting businesses’ bottom line. “We’ve been doing this a long time,” says Mathes, “but the space itself is starting to emerge into a new era. I am more hopeful than I am fearful.”
Food waste may be one of the world’s most pressing challenges, but it is also a fast-developing sector that gives cause for hope – there’s growing impetus behind solutions that are addressing not only climate change but production costs and social equity, driving us closer to the UN’s Sustainable Development Agenda which aims to cut global food waste by half by 2030.
