Annual Report 2022

Dear Friends,

On behalf of Leket Israel’s board, staff, and volunteers, allow us to thank you again for your support of our food rescue activities benefitting Israelis at risk. We are honored to present you with an overview of our 2022 activities.

Overview

Tens of thousands in Israelis incurred significant debt during the pandemic, creating a new stratum of poor that continues to receive food assistance even after returning to work. In addition, the sharp rise in costs for food and basic utilities are further challenging the poor. Consequently, the demand on Leket Israel’s services remains significantly higher than prior to Covid-19.

During 2022, Leket Israel increased food distribution by 7% to 27,900 tons (61,520,000 lbs.). The food was delivered to 265 NPOs serving 234,000 Israelis from all backgrounds in more than 100 towns. Although understaffed for much of the year, activity reflected our employee’s determination to increase output while ensuring a dignified service for those in need.

Leket Israel’s expenses for 2022 were NIS 90 Million ($26.87 million) the increase in fuel costs, and CPI linked rent adding to costs. Highlights for the year include:

  • The rescue of 26,500 tons (58.43 million lbs.) of fresh produce from the farming sector
  • The provision of 1.9 million hot meals primarily rescued from the catering sector and the IDF
  • The preparation of 260,000 liters (520,000 pints) of soup and salads using excess vegetables
  • Conducting 400 nutrition education sessions for groups at risk in Hebrew, Arabic or Russian
  • Receipt of Dun and Bradstreet’s Gold Mark; reflecting the organization’s level of business credibility
  • The hosting of food bank CEOs from Uruguay, Kenya, Ghana and the Philippines, providing guidance in all aspects of managerial procedures and logistics

Project Leket

26,500 tons of produce were rescued through 6,500 rescue opportunities. This reflects a 6% growth in output, with significant increases being recorded in the rescue of watermelons, grapes, carrots, sweet potatoes and 6 types of citrus fruit. Of the 60 fruit and vegetable types collected, 80% were of varieties most favored by the NPOs. The project did not reach its 30,000 ton goal primarily due to less produce (specifically potatoes) being available for rescue from packing houses (29% of total output in 2022 compared to 41 % in 2021). In addition, some rescue opportunities were rejected due to the organization reaching its distribution saturation point for the specific produce types; a consequence in part of 30 ultra orthodox organizations not accepting produce for most of 2022, due to it being a sabbatical (Shmitta) year.

 

Working to maximize crop quality, Leket introduced more stringent picking standards during harvest and increased oversite at time of delivery (25 spot checks a month.) Consequently, 88% of produce delivered was A grade and 10.5% B grade, cutting by 1.5% that which was unsuitable for consumption.

715 farmers  including 88 new farmers participated in the project, a 16% increase over 2021. This reflects the success of a farmer focused PR campaign, the recruitment of additional field staff to maintain ongoing  communication with growers, and the development of an app enabling  farmers to alert the organization to surplus available for rescue.

Generally, Leket does not pay growers for rescued crops. However, to support farmers who lost significant export markets due to the Ukraine war, funds were raised to purchase at reduced rates 2,500 tons (5.5 million lbs.) of  root vegetables slated for destruction. Residual funds from this campaign were also  used at Rosh Hashana to purchase leeks, dates, squash, pomegranates and apples, all commonly identified in Israel with the Jewish New Year.

Soup Project

Working in cooperation with a food manufacturer in central Israel, Leket used excess vegetables to produce seven types of preservative free, hearty soups with a shelf life, when frozen of up to 1 year.  Based on the recipients’ feedback, flavors were adjusted and three soup types were added to the range. The project is more seasonal than originally anticipated, with packaged salads now being piloted to replace the drop in demand for soup in the summer. Focusing supply primarily on the elderly and young families, the project provided 520,000 half liter (pint) servings of soup or salad  for the year delivered via 50 NPO partners. The potential for growth remains significant but will  require further  fine tuning of logistics and the purchase of industrial freezers for additional NPOs.

Meal Provision

Meal Provision in 2022 was based on both rescue and purchase. Overall, 1.9 million hot meals (meat and 2 side dishes) were supplied to 40 NPOs; 150,000 meals more than in 2021.

 

Rescue: Leket rescued 1.82 million hot meals in 2022, the food being distributed through 8 overnight storage hubs nationwide. Covid- 19’s long term effect has challenged project output.  With people increasingly working from home, caterers’ service model is changing from buffets to meals made to order, consequently producing less waste. Addressing this Leket (a) extended its partnership to 46 IDF bases (b) increased to three the number of vehicles rescuing food from 17 hotels and IDF bases in Eilat and (c) opened 4 additional regional collection routes (Beer Sheva-Dimona, Ramle-Lod, Tel Aviv, Haifa-Krayot)  

 

Meal Purchase: A residual from the Covid period, 80,000 meals were purchased during the year specifically for the elderly. Purchase will discontinue in 2023, as the project returns to focus solely on food rescue.

Logistics

Stock management remains only partly computerized, (the process to be completed in 2023). Redefined guidelines, coupled with a change in staff responsible for stock oversite, led during the year to improved shelf-life assessment, quality control and the tracking of thousands of packing cases.

Improved mechanization and produce handling equipment has enabled the organization to receive produce  in almost any packing form, enabling farmers to dispose of their excess quickly. Mud and stones that accompany produce harvested by mechanical combines remains an unresolved problem.

 

Leket not only rescues  produce, but assumes responsibility for its distribution to over 70% of its NPO partners without  their own vehicles. Gasoline price hikes of up to 20% during the year further tested the organization’s financial liquidity.

Nutrition and Food Safety

Leket’s emphasis on balanced nutrition, food safety and quality control reflects a core organizational value emphasizing the provision of a dignified and beneficial service to its food recipients. During 2022, over 400 nutrition sessions were held in 45 cities for population groups at risk, the focus being on the elderly and joint parent-children groups. Questionaries, conducted 6 months on, indicated a moderate to significant change in the eating habits of 70% of workshop participants.

 

Despite staff shortages, Leket conducted on average 70 food safety visits a month, grading the NPOs after each visit. The average score was 89%, with three meal NPOs removed from the recipient list after being unable to abide by minimum food safety requirements. Overall the results were pleasing, and reflect years of  our staff’s guidance and work with NPOs. As a means of  increasing NPO storage capacity and enhancing professional standards, Leket in 2022 invested $361,000 in infrastructure improvements at 42 NPOs (including refrigeration rooms, freezers,  shelving,  forklifts etc).

Marketing and PR

To raise the organization’s profile, thereby supporting fund and food raising efforts and lobbying activity,  PR and Marketing undertook a range of diverse campaigns including collaboration with Nelly Tagar, a well-known Israeli actress and comedian, and advertisements on Israel’s version of MasterChef.  Market research revealed  a consequent  4% increase in  general public recognition of the organization’s activities.

In November Leket published its 7th Food Waste and Rescue report in collaboration with Harvard’s Food Law Policy Clinic, The Global FoodBanking (GFN) Network, The Ministry of Environmental Protection, and BDO. The report compared internationally, governmental food waste reduction policies, with Israel ranking last out of 18 countries surveyed. The report urges the Government to change its priorities, and offers a range of practical policy solutions promoting food rescue.

Leket invested significant effort in finetuning and paring down its  email lists to prevent communications from going to junk mail. Staff also worked hard to overcome the increasing restrictions Facebook (126,000 followers) and Instagram (11,000 followers) are placing on the use of their platforms  for fund raising purposes.

Volunteerism

Returning to pre covid numbers, Leket hosted 54,000 volunteers during the year (a 300% increase over 2021), through activities ranging from the picking and repackaging of produce to the delivery of Shabbat food parcels to the elderly. Of the volunteers, 90% were from Israel, including 600 corporate groups.

Fundraising

50% of Leket’s donors are from Israel and 50% are from abroad. The organization raised NIS 84 million ($25 million) in 2022, a decrease of 8% when compared to 2021. The drop in donations worldwide was anticipated, with one-time Covid relief donors both small and large not renewing their support in 2022.

Leket is doing all in its power to assess its fundraising activity and innovate where feasible. Over the past 18 months the organization added four people to its Israel fundraising staff, with specific focus placed on middle range donors and the corporate sector. Leket also added an additional staff person to further advance donations in the US tri state region and has replaced the fundraiser focused on the UK. The organization is looking the strengthen the fundraising activity of its Israel board, and recently moved to a new donor maintenance CRM  system with its associated teething problems. Leket has expanded its in house call center to 5 employees; their role being to contact lapsed donors in Israel and North America.

Government Relations

Political instability caused considerable frustration as staff invested time and energy in building partnerships with Knesset members only to have them leave their position or not be re-elected. The organization remains hopeful that the newly elected government will prove motivated to effectively address nutritional insecurity and food waste. In 2022, Leket published its 7th annual waste report in cooperation with the Ministry of the Environment but did not gain funding from the Ministry for its food rescue activities. The organization continued to advise the Ministry of Health on workable food safety standards for NPOs, but unfortunately could not convince the Ministry of Agriculture to compensate farmers who donate rather than destroy their excess. Success however was achieved in having fresh produce included as part of the government tender that now provides 26,000 of Israel’s poorest families with basic food support.  

Looking to the Future: 2023

Despite the uncertain economic climate, Leket Israel is confident that it will succeed in 2023 in further expanding output. The organization will (a) Grow produce distribution to 29,000 tons (63.95 million lbs.) further focusing on rescue from packing houses, (b) Increase prepared food  rescue to 2 million meals, both deepening its relationship with the IDF kitchens and assessing the viability of rescue from smaller caterers and (c) Provide NPOs 520,000 units of salad and soup made from excess produce. In addition, during the coming year Leket will:

 

  • Use technology to advance activity including the introduction of IT systems to (a) track the movement of all packing cases (b) best monitor the quantities and estimated shelf life of all produce entering the logistics, and (c) streamline the HR department’s staff management processes. The organization will also introduce satellite based mapping to pinpoint fields throughout the country under cultivation.
  • Further promote its healthy food agenda, introducing a project at 5 elementary schools, that incorporates nutrition education with the regular provision of fresh produce. Project outcomes will be monitored by  Ariel University’s School of Health Sciences.
  • Reinforce its international mentoring role, hosting in Israel the CEO’s of three third world food banks.

We thank you again for your support and ongoing vote of confidence and look forward to our continued partnership.

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