Food businesses participating in the Australian Food Pact recouped $12 million in additional revenue in 2025 by transforming unsold food into higher-value uses, according to End Food Waste Australia, which leads the initiative.
The organisation said participating businesses generated the additional revenue by repurposing surplus food into new products and through commercial redistribution, as part of coordinated food waste reduction efforts.
Australia wastes an estimated 7.6 million tonnes of food each year, with around 70 per cent considered edible, according to figures cited from FIAL (2021). Food waste costs businesses an average of 5.6 per cent of total sales, based on Capgemini (2022) data referenced in the release.
Tristan Butt, CEO of End Food Waste Australia, said the financial returns demonstrate the commercial case for reducing food waste.
“Reducing food waste isn’t just the right thing to do – it’s good business,” Butt said. “Saving food cuts costs, and the businesses leading in this space understand the opportunities offered by repurposing food or creating new products.”
The Australian Food Pact Impact Report (2021–2024) found participating businesses saved $57 million over three years by reducing food waste by 16,000 tonnes and avoiding $2 million in landfill levies.
Since 2022, Pact businesses have also saved an estimated 505,000 tonnes of CO2-equivalent emissions, which the organisation said is comparable to removing 210,000 cars from the road for a year.
The End Food Waste Cooperative Research Centre is working with food businesses to develop new products from food that would otherwise go to waste.
A research project between the CRC and SSS Strawberries expanded freeze-dried and frozen berry product ranges, reducing food waste by 80 per cent, with an aim to eliminate waste by the end of the project.
Gina Dang, CEO of SSS Strawberries and Gina’s Table, said more than 250,000 kilograms of produce previously considered waste had been transformed into value-added products.
“This research has helped us create great new products for market and consumer consumption. Now instead of going to waste that produce is nourishing more Australians,” Dang said.
More than 38 businesses have signed up to the Australian Food Pact, including Coles, Woolworths, Aldi, Metcash, Simplot, Mars, Goodman Fielder, McCain and Sodexo.
End Food Waste Australia said further participation from food businesses will be needed to meet the national goal of halving food waste by 2030.
“Reducing food waste is critical to future-proofing Australia’s food system,” Butt said. “We want 2026 to be the year businesses take action.
“Cutting food waste benefits business of all sizes, and the $12 million in recovered revenue shows it can directly boost productivity. Together, we can drive real change.”
