Agriculture

How AI is Reducing Food Waste in the Produce Supply Chain

Beebit Team
February 3, 2025
AISustainabilityAgriculture
How AI is Reducing Food Waste in the Produce Supply Chain

Food waste is one of the greatest challenges facing the produce sector today. According to the FAO, approximately one-third of food produced for human consumption is lost or wasted globally, with the fruits and vegetables sector representing a significant portion of this figure. However, artificial intelligence is emerging as a powerful solution to address this critical problem.

The Magnitude of the Problem

In the produce sector, losses occur at multiple points in the supply chain: during harvesting, storage, transportation, distribution, and retail. Fresh produce is particularly vulnerable due to its perishable nature and high variability in market demand.

The main causes include inaccurate demand forecasts, inefficient inventory management, inadequate storage and transportation conditions, and lack of real-time visibility into product status throughout the chain.

Intelligent Demand Forecasting

One of the most impactful applications of AI in waste reduction is accurate demand prediction. Machine learning algorithms can analyze years of historical sales data, seasonal patterns, consumption trends, special events, weather conditions, and multiple external variables to generate highly accurate forecasts.

These predictions allow producers and distributors to adjust their production volumes and orders with greater precision, avoiding both excess stock that ends up spoiling and shortages that generate lost sales. Companies that have implemented these systems report waste reductions of between 15% and 30% in the first year.

Cold Chain Optimization

Temperature control is critical for maintaining quality and extending the shelf life of produce. AI systems connected to IoT sensors continuously monitor storage and transportation conditions, detecting deviations that could compromise product quality.

Additionally, these systems can automatically optimize distribution routes considering not only distance and time, but also traffic conditions, weather, and the specific sensitivity of each load. This ensures products arrive in optimal condition, minimizing deterioration during transport.

Automated Classification and Quality Control

Computer vision allows automatic inspection of large volumes of products, identifying defects, ripeness level, and quality with accuracy superior to human inspection. This technology can process thousands of units per hour, classifying them in real-time for different commercial destinations.

Products that don't meet first-quality standards but are still perfectly edible can be automatically redirected to alternative channels such as industrial processing, discounted sales, or donation, rather than being discarded.

Dynamic Inventory Management

AI systems can implement FEFO (First Expired, First Out) inventory management strategies in an automated manner, ensuring products with the shortest remaining shelf life are prioritized for sale or processing. These systems can also dynamically adjust prices based on remaining product shelf life, incentivizing sale before spoilage.

In warehouses and distribution centers, AI optimizes product placement considering rotation and perishability, reducing handling times and ensuring no batch is forgotten until spoilage.

Real Success Stories

Major European distribution chains have implemented AI-based demand forecasting systems, achieving waste reductions of 25% in their fruit and vegetable sections. In Spain, agricultural cooperatives are using intelligent management platforms that integrate field, warehouse, and market data to optimize the entire chain.

Producers in Almería have implemented computer vision systems for automatic product classification, increasing their efficiency by 40% and reducing the disposal of marketable products by 20%. These systems not only reduce waste but also improve profitability by better valuing each product.

Benefits Beyond Waste Reduction

Implementing AI to reduce waste brings additional benefits: greater profitability by optimizing margins and reducing losses, better customer satisfaction by guaranteeing fresher products, reduction of the carbon footprint associated with producing and transporting unconsumed food, and improved corporate reputation by demonstrating commitment to sustainability.

Towards a Fully Integrated Chain

The most interesting part is yet to come. Imagine a supply chain where all actors are connected, from the farmer who decides what to plant based on six-month demand forecasts, to the supermarket that automatically adjusts its orders according to what actually sells each day.

There are already cooperatives working with blockchain so that each tomato or pepper has its own "digital passport" - a complete record of its journey from plant to your home, with temperature data, transport, quality... all accessible with a simple QR code. And the best part is that these systems aren't science fiction, they're working right now in several regions of Spain.

Food waste is a problem too big and costly to continue managing with last century's methods. The tools already exist, the results are tangible, and more and more companies in the sector are taking the step. The technology is there, ready to use - you just need to decide to implement it.

Beebit Solutions S.L.U. ha sido beneficiaria de Fondos Europeos, cuyo objetivo es el refuerzo del crecimiento sostenible y la competitividad de las PYMES, y gracias al cual ha puesto en marcha un Plan de Acción con el objetivo de mejorar su competitividad mediante la transformación digital, la promoción online y el comercio electrónico en mercados internacionales durante el año 2024. Para ello ha contado con el apoyo del Programa Xpande Digital de la Cámara de Comercio de Granada. #EuropaSeSiente

Programa Xpande Digital - Fondos Europeos
Programa Xpande
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How AI is Reducing Food Waste in the Produce Supply Chain