NIS 9.5 billion
Food Waste and Rescue at the Household Consumption Level
Costs of Food Waste
Primary Causes of Household Food Waste: Preparation of Excess Food and Expiration
The primary causes of food waste via household consumption are (22):
Households Annually Discard
Loss and waste of food within households are not unique to Israel, and the waste rates in Israel are similar to those in other developed countries. The highest rate of waste in Israel, as well as in other Western countries, is in fruit and vegetables: 23% of the vegetables and fruit bought in Israel are thrown away, compared to 28% in the USA, and 19% in Europe. This is mainly due to their short shelf life and failure to store them in optimal conditions.
An International Comparison of Rates of Household Food Waste
For meat, fish, and dairy products, the rate of waste is about 8%. This lower rate is due, in part, to their extended shelf lives if frozen, as well as their higher cost per unit of weight, which creates an economic incentive to reduce waste. The waste rate of these products in Israel is similar to that in Europe, and lower than in the US.
For grains and legumes, the rate of waste is about 14%. This reflects the relatively short shelf life for breads and pastries alongside the long shelf life of uncooked grains and legumes.
NIS 9,900
Total Value of Annual Food Waste per Household (23)
Food Waste: Impact on the Cost of Living
Cost of living – Excess expenditures:
Buying food that is then thrown away is a direct cost to a household. On average, the direct financial loss per household (without indirect, external costs) (24) from wasted food is NIS 335 ($95) per month, or NIS 4,000 ($1,133) annually. The costs of disposing of food and burying it in landfills also eventually come out of consumers’ pockets through property taxes and municipal taxes, causing an additional annual household cost of NIS 215 ($61) for the removal of wasted food.
Cost of living – Increased food prices:
Beyond households’ direct excess expenditures on food that they purchased but did not consume, food loss has an impact at all stages of the value chain, prior to consumption. From an economic point of view, the cost of food reflects all production and sales expenditures at all stages of the value chain: cultivation, production, packaging, transportation, and marketing. Therefore, the price of food in marketing outlets includes food waste from the retail sector. Similarly, the wholesale food price reflects food loss in the agricultural and industrial sectors. Eventually, the consumer pays the costs of loss at all stages of the value chain, resulting in an additional NIS 3,250 ($920) per year, due to an increase in food prices by 11%.
Cost of living – Health costs from wasting food:
Food waste indirectly affects healthcare costs because not fully using the food purchased by households exacerbates food insecurity. Food insecurity is a risk factor for chronic disease and mental illness, and it impacts the national economy by increasing healthcare costs. The cost of these health impacts on the Israeli economy overall was estimated at about NIS 6.2b ($1.75b) in 2022 or about NIS 2,200 ($623) per household [see Chapter 8].
Cost of living – Environmental impacts from emission of greenhouse gases and air pollutants:
The environmental effects of food waste indirectly impact the cost of living. The emission of air pollutants has negative effects on human health and the environment. These external costs resulting from environmental damage affect the economy as a whole, mainly due to additional expenditures on healthcare (25). The monetary value of these negative environmental impacts on social welfare in 2022 was estimated at about NIS 1.5b ($0.42b) for the Israeli economy overall, and about NIS 235 ($67) per household [see Chapter 10].
Beyond these direct impacts on the cost of living from wasted food, and the indirect costs from removing and transporting wasted food, burning fossil fuels, and environmental damage caused by greenhouse gas emissions, there are additional effects such as traffic congestion and soil pollution, which are not included in the environmental cost estimates in this Report [see Chapter 10].
When landfilled organic waste breaks down, it emits methane gas, a greenhouse gas whose Global Warming Potential (GWP) is 84 times higher than that of carbon dioxide in the short term (20 years), and 28 times higher in the long term (100 years) (26).
According to the findings of the 2022 Food Waste and Rescue Report, 990,000 tons of household food waste were sent to landfills, causing an additional 310,000 trips per year, approximately, by garbage collection trucks that cause air pollution, road congestion, noise pollution, and accidents. Therefore, beyond the NIS 9.5b ($2.7b) in costs due to household food waste, and NIS 0.5b ($0.14b) for the removal of wasted food from households, additional external costs are incurred from traffic congestion and environmental impacts.
Household Food Waste in Israel Per Year
