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Comment by tancop

11 hours ago

some places already do this for food where anything thats after sell by date but still safe to eat has to be donated to a food bank.

i think it should be expanded to cover more categories than food and clothes when reuse and recycling infra grows to take the demand. its not just good for the environment it also prevents producers from restricting supply to keep their profits high.

the ultimate goal is make it illegal to destroy or intentionally damage anything usable before it reaches consumers. that would create a new ecosystem of discount stores and giveaway centers, and save everyone a ton of money.

Who pays for the logistics cost of moving and stocking these products in discount stores and giveaway centers? That is a large percentage of the total cost of production and the reason disposal is cheaper.

If those costs are paid for by taxpayers then the consumers are in effect involuntarily buying products they would not have otherwise bought, just with more steps. We already see this with agricultural subsidies.

If those costs are charged back to the producer then it becomes economically optimal to under-produce, which will cause prices to rise and risk shortages but eliminate waste. One can make the argument that higher prices for basic goods to reduce waste is a social good but it also impoverishes consumers.

All of these scenarios have happened empirically countless times. That almost every producer over-produces to some extent at no profit to themselves when allowed has strong "Chesterton's Fence" characteristics.

  • It's a somewhat blunt instrument used to internalize some externalities: Making a product and then destroying it is wasteful, and the market will fix all internalized costs of that waste, but some of those costs are externalized. Having society pay somewhat for producing clothes that are then worn, that's one thing. Having society pay for pointless waste is another.

    What you've said is: Looking only at the internalized costs, pointless-wasting a percentage of clothes costs X but reduces clothes cost in the store by Y, with Y being larger than X.

    Okay. Irrelevant - that math doesn't include externalized costs. It may well be that this is a stupid idea, but "market decided destroying some clothes was more efficient" doesn't prove anything unless you can show that the size of the externalized costs to this process are 0 or close enough to 0 to have no meaningful relevance.

    • You could internalize the cost of waste more generically by charging appropriately for landfill use and letting producers decide how much it's worth avoiding waste. Instead of just banning a particular waste stream by a particular industry, with distortive consequences.

      2 replies →

    • Again, the waste is not pointless, it's part of an inventory management strategy to ensure adequate supply. If your local grocery store established a policy that they'll never buy more meat than they're sure they can sell before the expiration date, they'd routinely run out.

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  • > Who pays for the logistics cost of moving and stocking these products in discount stores and giveaway centers?

    All the examples I know of (Austria, Switzerland) are social clubs/associations (whatever that is called) and DO NOT depend on tax payer money.

> that would create a new ecosystem of discount stores and giveaway centers, and save everyone a ton of money.

No. The real cost storage and selling, not the finished product. You don't magically get competent organizations to sell that popping out of the ground.

I have worked at a donation center like goodwill before. They get tons of stuff and throw away most of it. People won't buy it and they don't have time or space.

It may be an incentive to produce less and restrict options available. It really depends on how much harm it does to the company to donate or mark down their product.

Food4Less I think is owned by a larger grocery store brand. They sell near due date or past due date foods at a reduced price. There are also third party past due grocers in secondary cities.