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GTAP Resources: Resource Display

GTAP Resource #7448

"The potential effects and economic feasibility of reducing food loss and waste"
by Nenert, Claude, Diego Gonzalez, Celine Giner, Stephan Hubertus Gay and Armelle Elasri


Abstract
Reducing food loss and waste (FLW) is a critical part of the solution to the triple challenge of feeding a growing world population, ensuring the livelihoods of rural households, and delivering on climate and sustainability commitments.
This work uses the Aglink-Cosimo model to assess the global and regional impacts of reducing food loss and waste (FLW) by 2030 on environmental sustainability, food security, and agricultural livelihoods. Aglink-Cosimo is a recursive-dynamic, partial equilibrium model jointly maintained by the OECD and FAO to simulate medium-term developments in agricultural markets. The model has been enhanced with new FLW components—value chain losses, distribution waste, and household waste—based on FAO and UNEP data sources. Building upon the OECD-FAO Agricultural Outlook 2024–2033, this work extends prior scenario analysis by integrating cost estimates for FLW reduction interventions derived from a literature review. Ten scenarios, targeting FLW reductions between 5% and 50%, were analyzed using baseline projections of the Outlook.
Cost estimates of FLW reduction interventions were obtained from a literature review and introduced in the Aglink-Cosimo modelling framework. The median cost of reducing FLW is approximately USD 500 per ton, but vary significantly by commodity, supply chain stage, and intervention type. Furthermore, the economic efficiency of FLW reduction declines as reductions deepen.
While agricultural incomes would be negatively affected by a fall in demand following a reduction in FLW, the positive impacts on the environment (e.g. greenhouse gas emissions and land use) and on food security are likely to be substantial.
The analysis highlights the importance of international coordination in achieving the full potential of FLW reduction, while acknowledging limitations related to cost estimation and model assumptions. These results underscore both the opportunities and trade-offs associated with ambitious FLW reduction policies.


Resource Details (Export Citation) GTAP Keywords
Category: 2025 Conference Paper
Status: Not published
By/In: Presented during the 28th Annual Conference on Global Economic Analysis (Kigali, Rwanda)
Date: 2025
Version:
Created: Nenert, C. (4/9/2025)
Updated: Nenert, C. (4/9/2025)
Visits: 23
- Environmental policies
- Other data bases and data issues
- Food prices and food security
- Model extension/development
- Partial and general equilibrium models
- Global


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