ReFED Data Reveals Private Investment into Food Waste Solutions Topped $7.8 Billion Since 2011 – Including a Record $2 Billion in 2021 Alone – But…

The Past Ten Years Saw a Steady Acceleration in the Quantity and Size of Food Waste Deals, As More Funders Recognize the Environmental, Economic, and Social Benefits the Space Offers

NEW YORK, May 11, 2022 /PRNewswire/ --Direct U.S. private investment into solutions to reduce food waste reached an all-time high of $2 billion in 2021 following ten years of accelerating growth in the sector, according to new data from ReFED, the national nonprofit working to end food loss and waste across the food system. But substantially more funding is still needed to cut the 35% of food that goes unsold or uneaten each year in the United States in half by the year 2030, in accordance with national and international goals. The data come from ReFED's new Food Waste Capital Tracker, a first-of-its-kind, free resource offering a deep-dive analysis of food waste funding at both a systems level and an individual company deal basis, designed to provide investors and innovators alike with the information they need to develop their food waste funding strategies.

ReFED's data show that over the last ten years more than $7.8 billion of private capital including venture capital, private equity, corporate finance and spending, and commercial project finance was invested in companies offering solutions to reduce the amount of food loss and waste throughout the supply chain. During the same period, the quantity and size of deals accelerated, with 2020 and 2021 seeing 111% and 110% year-over-year investment growth, respectively.

"We're encouraged by the increasing flow of capital into food waste solutions in recent years, but a significant funding gap remains," said Alejandro Enamorado from ReFED's Capital, Innovation & Engagement team. "As ReFED continues our work to catalyze the additional capital that's needed to scale food waste solutions, we're excited to introduce the Capital Tracker, an important new resource to support private, and eventually also public and philanthropic, funders interested in using their capital to solve food waste challenges."

Looking forward, ReFED expects this momentum to continue due to a range of factors that are driving continued solution development and adoption, including the growing number of food businesses making public commitments to fight food waste, as well as the implementation of new policies mandating partial or full organic waste bans, like California's SB1383. And while 2022 is already a period of uncertainty with an inflationary environment, geopolitical risks, increasing food prices, supply chain challenges, and the lingering effects from the worst of the COVID-19 pandemic these factors further highlight the need to build a food system with less waste.

According to ReFED, private capital investment in food waste showed the following trends:

Despite this, much more funding is needed to continue developing and scaling the solutions that are required to reduce food waste by 50% by the year 2030. ReFED estimates that approximately $14 billion in funding is needed each year to achieve this milestone. The good news is that investment would result in approximately $73 billion in net economic benefit a five-to-one return as well as reduce greenhouse gas emissions by 75 million metric tons, save 4 trillion gallons of water, and recover the equivalent of 4 billion meals for those in need. Plus over ten years, it would create more than 51,000 jobs.

To help support funders of all types who are interested in exploring the opportunities the food waste sector offers at all stages of development, ReFED has developed the following tools:

About ReFED

ReFED is a national nonprofit working to end food loss and waste across the food system by advancing data-driven solutions to the problem. ReFED leverages data and insights to highlight supply chain inefficiencies and economic opportunities; mobilizes and connects people to take targeted action; and catalyzes capital to spur innovation and scale high-impact initiatives. ReFED's goal is a sustainable, resilient, and inclusive food system that optimizes environmental resources, minimizes climate impacts, and makes the best use of the food we grow. For more information, visit http://www.refed.org.

About Closed Loop Partners

Closed Loop Partners is a New York-based investment firm comprised of venture capital, growth equity, private equity and catalytic capital, as well as an innovation center focused on building the circular economy. Investments align capitalism with positive social and environmental impact by reducing waste and greenhouse gas emissions via materials innovation, advanced recycling technologies, supply chain optimization and landfill diversion. For more information, visit closedlooppartners.com. Learn more about our investments in the food & agriculture sectorhere.

Contact:Melody Serafino[emailprotected]

SOURCE ReFED

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ReFED Data Reveals Private Investment into Food Waste Solutions Topped $7.8 Billion Since 2011 - Including a Record $2 Billion in 2021 Alone - But...