Food Loss and Waste Reduction
Completed
Digital Food Rescue Ecosystem is a digital platform that automates the food rescue process and connects the food industry with food banks and nonprofit organizations to reduce food loss and waste and combat hunger.
P4G has awarded the partnership $448,976 in grant funding.
Digital Food Rescue Ecosystem uses artificial intelligence to automate food donations and sales, and generate data on an operation’s economic, social and environmental impact. It connects the food industry such as supermarkets, convenience stores, restaurants, hotels, institutional channels, digital platforms, and agricultural producers, with social ecosystems and creates an end-to-end safe and efficient pathway for connecting surplus food with those who need it the most.
The partnership converts the food rescue process into one that can deliver environmental and social impact, while also creating a business opportunity by monetizing the collected data. Monetization is realized through two streams: the first one is a monthly subscription fee for being connected to the food rescue process and the second is licensing the analytical data according to the businesses’ interests such as efficiency, logistics, etc.
This partnership between EatCloud and Conexion scaled its operations in Colombia and started the process of replication to Mexico. In Colombia, plans for three additional commercial pilots underscore the commitment to refining and solidifying EatCloud's presence. Robust client engagement has resulted in substantial interest in EatCloud's technological solutions and contributes to broader sustainability efforts, such as getting the private sector to voluntarily reduce food waste.
The scale-up of EatCloud in Mexican market has shown promising results through an ongoing commercial pilot and plans for 17 additional pilots. The current implementation of the first commercial pilot serves as a crucial testing ground, providing insights for future rollouts and strengthening collaboration with the Mexican Foodbanking Network (BAMX).
The partnership achieved impactful outcomes, registering over 16,000 tons of food on the platform and rescuing 10,000 tons of food, highlighting its effectiveness in diverting food from being discarded. The BackOffice solution provided to food banks prevents future losses and is expected to secure the rescue of nearly 6,000 tons in the next year, contributing to long-term food waste reduction. Notably, clients like Grupo Éxito experienced a 52% waste reduction, translating to an estimated overall reduction of at least 40%, saving 6,400 tons with the potential to reach 8,500 tons. With the calculated total of 16,000 tons of food mitigated, the partnership estimates a mitigation of 3,772 tons of CO2, encompassing not only the direct emissions from food disposal but also the accumulated emissions throughout the production and distribution phases.
On the financial side, EatCloud reached a significant capital milestone, with WWF investing US $250,000 as the leading pre-round investor. This achievement was a culmination of strategic efforts and impactful networking, as part of Conexión's advocacy and networking initiatives, like the digital food rescue talk organized in collaboration with the Netherlands Embassy in Colombia. With rising sales, the company looks to continue improving its investability to deliver greater impact.