Australian fruit and vegetable growers are missing out on sales of up to one million tonnes of produce that never makes it to market¹, estimated at up to $2.5 billion a year². In response, a new national research program aims to help farmers keep more value from every harvest by tackling surplus and losses on-farm.

Recent data shows that Australian horticulture growers experience average food loss rates of around 20 per cent per farm³, with growers often wearing the cost after paying for seed, water, fertiliser, crop protection and labour.

Program lead End Food Waste Australia says food waste represents a significant yet largely invisible economic risk, costing Australia an estimated $36.6 billion annually¹ - around 1.4 per cent of GDP. It is one of the largest avoidable sources of productivity loss in the Australian economy, effectively erasing more than half of Australia’s agricultural GDP².

The program will work with growers nationwide and partners across the supply chain to pinpoint where losses happen, test practical ways to lift utilisation, and find commercially viable pathways for surplus and out-of-spec produce.

This program Reducing on-farm food waste and unlocking its value for grower profitability and sustainabilityis funded through Hort Innovation Frontiers with co-investment from End Food Waste Cooperative Research Centre, where research activities are funded by the Australian Government’s Cooperative Research (CRC) Program, Queensland’s Department of Primary Industries, the South Australian Research and Development Institute (SARDI) and the University of Queensland.

The program will draw on research, and the consultation with growers, industry and consumers to develop farm-ready tools and evidence-based options to reduce on-farm losses and recover value from surplus and out-of-spec produce.

A key element will be a deep dive into consumer preferences and tolerances regarding product specifications to provide insights for recommendations to help growers sell more produce without undermining customer satisfaction or shifting waste elsewhere in the supply chain.

Montague Farms are industry leaders of food waste reduction and share the opportunities surplus and out-of-spec produce offers for farms.

“Just because fruit has a cosmetic defect doesn’t mean it’s inedible,” said Rowan Little, Head of Product Strategy, Quality and Innovation at Montague Farms. “We’ve reached almost 100% crop utilisation for our apples through secondary markets to cider and juices, and are looking at the same for our plums.”

“If we can unlock value in new markets and sell more from every crop, that’s good for growers and good for the whole supply chain,” said Little.

End Food Waste Australia Director of Research, Development and Extension, Francesca Goodman-Smith, says this project offers opportunities for growers to save food and money.

“International trials have shown that growers can increase profitability by up to 20% through food waste reduction⁵,” she said. “When food isn’t sold its not just the food that is wasted, it is also the fertiliser, water, labour and opportunity cost of using that land that is also wasted.”

Anthony Kachenko, General Manager of Production and Sustainability at Hort Innovation said the focus was on improving profitability for growers and strengthening industry viability. 

“Australian growers produce some of the best horticulture products in the world and work hard to get it to market. This national program will support our growers by providing practical, commercially realistic tools to maximise value from each harvest.”

The trials are intended to test what works under Australian conditions using data collected from participating farms. 

Outputs are expected to include measurement tools and loss-reduction resources backed by on-farm testing, grower training materials and case studies that set out what options work and what they cost.

EFWA also plans market feasibility studies across key commodities toidentifycommerciallyviablepathways for surplus and out-of-spec produce, as well as assessments of value-added opportunities such as powders, relishes and other processeduses, and alternative end uses including animal feed and soil amendments.

EFWA said the program would avoid “one-size-fits-all” recommendations, noting what works can vary between commodities,regionsand seasons.

Findings will be published in accessiblefarm-readyformats, including case studies and a dedicated knowledge hub intended to make resources easy for growers to find and apply.

What the program will deliver

The program will produce farm-gate focused outputs, including:

·        Practical measurement and loss-reduction resources supported by extensive research and on-farm trials

·        Grower training, including case studies showing what works and what it costs.
Market feasibility studies to identify commercially viable pathways for surplus and out-of-spec produce across key commodities

·        Assessment of value-add opportunities, including powders, relishes and other processed uses where viable

·        Feasibility work for alternative end uses such as animal feed and soil amendments where appropriate

·        Consumer research on expectations and tolerance around produce, to support strategies that increase utilisation without shifting waste elsewhere in the supply chain

Get involved

Growers and horticulture supply-chain businesses can register interest to take part in on-farm trials, workshops and advisory groups.

EFWA said participation will help shape the tools and training and provide early access to practical resources as the program progresses.

Register interest: www.endfoodwaste.com.au/horticulture
Watch the video: https://youtu.be/Rku65yK8wKY

Sources:

1. FIAL, 2021, National Food Waste Strategy Feasibility Study
2. Lapidge, 2015, Primary Production Food Losses: Turning Losses into Profit; ABARES 2025; End Food Waste Australia analysis
3. Australian Bureau of Agriculture and Resource Economics and Sciences (ABARES), 2025, Crop loss/waste on Australian horticulture farms, 2023-24.
4. WRAP, 2021, Banbury, Financial implications for farm enterprises of reducing food surplus and waste (FS&W), Prepared by Birnie Consultancy & WRAP