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The generation that wastes the most food

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New Zealand’s food‑waste budget shrinks to $3 billion a year, says Rabobank Kiwiharvest report

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Published on 9 September 2025

A new audit by Rabobank’s Kiwiharvest division has found that the amount of food wasted across New Zealand has fallen sharply, now costing the country a little more than $3 billion in lost value each year. The report – which draws on a decade of data from the industry, the government and the private sector – paints a hopeful picture of a nation that is finally turning the tide on food waste, yet also underscores how far New Zealand still has to go.


1. A historic dip in waste costs

The 2024 Kiwiharvest Food Waste Report shows that the average annual food‑waste cost in 2023 dropped to $3.1 billion – a 13 % reduction from the $3.5 billion recorded in 2022, and a 33 % fall on the $4.3 billion figure posted in 2019. The figure is a combination of the value of food that is never sold (from farm to fork) and the cost of disposing of that food in landfill, incineration or export.

While the headline figure is a welcome improvement, the report notes that the cost of food waste is still high by global standards. “At the rate we’re moving, we’re still about $1 billion short of the $2 billion per year we see in the EU’s most advanced food‑waste markets,” said Dr Marlene Ngata, Chief Analyst for Kiwiharvest. “But the momentum is there.”


2. Who’s throwing it away?

The report breaks down waste by industry, and the biggest culprit remains the fresh‑fruit and vegetable sector – responsible for roughly 38 % of the total waste cost. Follow‑on waste from produce that fails to meet aesthetic or quality standards still costs supermarkets, wholesalers and farms a lot. The industry has responded by tightening its supply‑chain forecasting, improving cold‑chain logistics, and investing in better grading systems that reduce the amount of produce sent to landfill.

Other sectors that have seen measurable reductions include:

Sector2019 cost (£)2023 cost (£)% drop
Retail supermarkets$900 m$700 m22 %
Households$600 m$470 m22 %
Food‑service (cafés, restaurants)$400 m$310 m23 %
Agricultural supply chain$500 m$380 m24 %

The “household” figure covers waste generated at home and is the only category that remains stubbornly high. While household waste fell by 15 %, it still represents about $470 m of the total, mainly because of over‑purchase and poor storage.


3. The drivers of progress

The report highlights several key drivers that have helped shrink waste:

  • Improved forecasting tools – Kiwiharvest partnered with Rabobank to introduce machine‑learning models that predict demand at the retail level. This has cut “left‑over” produce sent to landfill by 12 % in the first year.
  • Policy nudges – The Ministry for Primary Industries (MPI) introduced a mandatory reporting scheme for supermarkets in 2021. This gave the sector a clear baseline to track progress against.
  • Consumer awareness – Campaigns such as Take Action – Food Waste (a joint effort by the New Zealand government, the National Council of Women and the New Zealand Farmers’ Union) have spurred households to take a second look at the ‘best before’ dates and buy only what they need.
  • Technology and packaging – Innovations in edible coatings and modified‑atmosphere packaging have extended the shelf life of perishable items, reducing the need to dispose.

“We’re seeing the convergence of policy, technology, and consumer behaviour,” said Ngata. “When all three align, the cost savings can be enormous.”


4. Turning waste into value

One of the more exciting take‑aways from the report is the rapid rise in the market for food‑waste‑derived products. The Kiwiharvest analysis found that the compost market grew by 18 % in 2023, while animal feed derived from food scraps rose by 25 %. The most dynamic sector, however, is anaerobic digestion, which saw a 32 % jump in the volume of food scraps processed into biogas.

The report also highlighted the potential for “value‑added” products such as fruit‑and‑vegetable juice by‑products used in cosmetics and nutritional supplements. “We’re only scratching the surface of what could be done with this material,” said Ngata.


5. Where New Zealand still falls short

Despite the progress, the report cautions that New Zealand still lags behind some of its international peers. For example, the United Kingdom’s food‑waste cost is around $1.3 billion per year, and the Netherlands’ is $1.7 billion – both substantially lower than New Zealand’s current figure. The main bottlenecks include:

  • Insufficient infrastructure for waste diversion – Many rural communities lack collection points for compostable waste, leading to higher landfill use.
  • Limited scale of waste‑to‑energy projects – New Zealand has only two large biogas plants that could be expanded to handle the volume of food waste now available.
  • Consumer habits – A 2023 survey by the National Consumer Advocacy Centre found that 35 % of respondents admit to buying more than they can use, citing ‘bulk buying’ and ‘fear of waste’ as key reasons.

6. The way forward

Kiwiharvest’s report ends on a note of optimism, but also calls for a coordinated strategy to tackle the remaining challenges. The key recommendations include:

  1. Expanding collection infrastructure – Particularly in rural and remote areas where households have limited access to compost bins.
  2. Scaling up biogas and anaerobic digestion – Through public‑private partnerships to process a greater share of food waste.
  3. Strengthening consumer education – Building on the Take Action campaign to reduce bulk buying and improve storage practices.
  4. Incentivising waste reduction at the corporate level – Through tax breaks or subsidies for companies that exceed waste‑reduction targets.

7. Final thoughts

The 2024 Kiwiharvest Food Waste Report shows that New Zealand is moving in the right direction – the cost of food waste has dropped, the supply chain is cleaner, and the waste‑to‑value chain is expanding. But the country still faces significant hurdles in reaching the lower waste cost levels seen in more advanced economies.

As the government, industry, and consumers collaborate to adopt new technologies, refine policies and shift habits, New Zealand could see its food‑waste cost fall to the $2 billion mark or less within the next decade. The report’s findings serve as a clarion call for all stakeholders to keep up the momentum and to turn the nation’s excess into opportunity rather than loss.


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Read the Full The New Zealand Herald Article at:
[ https://www.nzherald.co.nz/the-country/news/food-waste-drops-to-3b-a-year-rabobank-kiwiharvest-report-finds/AHU572SMMBDIVOEMIDFHUYOLBI/ ]