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Food loss and waste are associated with an unnecessary consumption of natural resources and avoidable greenhouse gas emissions. The United Nations have thus set the reduction of food loss and waste on the political agenda by means of the Sustainable Development Goal Target 12.3. The German Federal Government committed itself to this goal by implementing the National Strategy for Food Waste Reduction in 2019. However, this policy approach relies heavily on voluntary action by involved actors and neglects the possible role of power imbalances along the food supply chain. While current research on food loss and waste in industrialised countries predominantly focuses on the consumer level, this study puts emphasis on the under-researched early stages of the food supply chain from the field to retailers’ warehouses. Based on 22 expert interviews with producers, producer organisations and retailers, this article identifies major inter-stage drivers of food loss in the supply chains for fresh fruit and vegetables in Germany. Its main novelty is to demonstrate how market power imbalances and risk shifting between powerful and subordinate actors can reinforce the tendency of food loss on the part of producers further up the supply chain. Results indicate that prevalent institutional settings, such as contractual terms and conditions, trading practices, ordering processes, product specifications, and communication privilege retailers and encourage food loss. The mechanisms in which these imbalances manifest, go beyond the European Commission’s current legislation on Unfair Trading Practices. This study suggests a research agenda that might help to formulate adjusted policy instruments for re-structuring the German fruit and vegetable markets so that less food is wasted.

Market power and food loss at the producer-retailer interface of fruit and vegetable supply chains in Germany