Dow Solutions to Avoid Food Waste - Analyst Blog


The Dow Chemical Company ( DOW ) announced that it will be providing security and food packaging solutions to address the problem of food wastage. As per the Food and Agriculture Organization (FAO) of the United Nations, more than 1.3 billion tons of food and $750 billion are wasted every year.

On FAO's World Food Day on Oct 16, Dow provided solutions to avoid wastage of food through interactive content about food waste and creation of sustainable food systems, through its website and social media channels. Dow stated that it is working to provide innovative solutions at all levels of the supply chain to support the growth in food production and conservation required to feed the world's growing population.

Dow is working with the farmers so that food can be protected at the origin of the supply chain. Dow will create drip-irrigation systems that deliver specific amounts of water directly to crop roots aiding growth while significantly reducing water waste. Dow has also introduced post harvest protection products and services which help the growers, packers, shippers, exporters, and importers to provide high-quality fresh fruit and vegetables to consumers.

The next phase that food undergoes is processing according to the tastes and the needs of the people. Dow's food processing solutions allow the removal of allergens such as gluten thus suiting consumer taste and matching their diet requirements. Dow's processing system also assists producers with products that are easy to handle and have greater productivity through methods which utilize superior sanitation, and energy savings.

Dow's resins in flexible stand-up pouches ensure packaging efficiency by protecting constituents such as soups, baby food and baking ingredients against spoiling and also require less material for packaging. These lightweight packages also allow more food in the innovative packages to fit into each truckload, so that the transporting vehicle is able to use less fuel to distribute the food -- which in turn enables reduction in carbon footprints.

Dow Chemical currently holds a Zacks Rank #3 (Hold).

Other companies in the chemical industry worth considering are Air Products and Chemicals Inc. ( APD ), BASF SE ( BASFY ) and FMC Corp. ( FMC ). All of them hold a Zacks Rank #2 (Buy).

AIR PRODS & CHE (APD): Free Stock Analysis Report

BASF SE (BASFY): Get Free Report

DOW CHEMICAL (DOW): Free Stock Analysis Report

FMC CORP (FMC): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

This article appears in: Investing , Business , Stocks

Referenced Stocks: APD , BASFY , DOW , FMC

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