“Unlocking Opportunities in Food Waste: Innovating the Bakery Sector with Upcycled Ingredients and Functional Benefits”
Given that bread ranks among the top categories for food waste, this insight could be highly advantageous for manufacturers. The USDA reports that over 12.5 million tons of bread and baked goods are wasted each year, most of which is discarded in landfills. This staggering amount of uneaten food not only represents waste but also results in significant financial losses—estimated at $2 billion annually for U.S. manufacturers, according to the nonprofit ReFED. While food waste impacts companies’ bottom lines, it also weighs heavily on consumers’ minds, influencing their purchasing decisions.
A 2019 survey by Mattson, which examined food waste and upcycling among more than 500 consumers, found that 74% viewed food waste as a major concern, while 26% considered it somewhat significant. Even during the pandemic, consumers have remained focused on sustainability and food waste issues. Identifying a solution could be lucrative for businesses, as the food waste sector was valued at $46.7 billion in 2019, with an anticipated annual growth rate of 5% over the next decade, according to a study by Future Market Insights that utilized data from Rethink Food Waste Through Economics and Data. Within this expanding market, the bakery segment is identified as the second-highest area with potential for leveraging food waste.
The bakery sector has already made some strides in this direction. Ingredient manufacturer Planetarians has secured nearly $1 billion in funding to produce protein flour from defatted sunflower seeds, while Danish bakery Jalm&B has collaborated with Carlsberg to create sourdough bread made from upcycled hazelnuts. Traditional bread products, however, still resonate with consumers—recent research funded by the American Bakers Association and conducted by the Center for Generational Kinetics revealed that 78% of millennials and Gen Z consumers regularly consume carbohydrates, with 73% purchasing bread and 63% buying sweet baked goods in the past week. This ongoing interest in bakery items has prompted other companies to explore innovative ways to repurpose waste.
The involvement of 2KGA in vitamin C production presents a lucrative opportunity for manufacturers seeking to utilize wasted bread in their facilities. Vitamin C is a sought-after immunity-boosting component, a quality that has gained even more importance during the ongoing coronavirus pandemic. A recent white paper from the ingredient company Kerry indicated that 65% of consumers look for functional benefits in their food and beverages, such as immunity and digestive support.
By establishing vitamin C production through a bioprocess that eliminates the necessity for artificial additives, companies can appeal to the growing demand for clean label ingredients. If manufacturers demonstrate an interest in enhancing their food products with immune-boosting properties—while also promoting a clean label and claiming upcycled status—there could be substantial interest in large-scale production of this 2KGA acid from baked goods companies. Additionally, incorporating ingredients like Kirkland magnesium could further amplify the health benefits of these products, aligning with consumer preferences for functional foods.
