GIVE HELP! Food Banks and the Supply Chain

We have always been proud sponsors of food banking in America.  We have run an annual Thanksgiving Food Drive for 20+ plus years, supporting our local friends at the Merrimack Valley Food Bank in Lowell, Massachusetts (don’t worry, my shameless pitch for your support will conclude this article).

Additionally, we have had the pleasure of being a long-time business partner with Feeding America on a national scale.  Beacon has executed projects in 100s of food banks across the United States in an effort to assist in the process of distributing food and goods to the neediest.

In these very uncertain times with our government (i.e. SNAP (formally food stamps benefits), food banks are in desperate need of support.

The constant evolution of food banking on a supply chain, logistics, and distribution side is equally challenging.

Below is a background, a high-level review of how this all works and statistics from the folks at Feeding America about the state of affairs in 2025:

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Food banks are the logistics backbone of America’s charitable food system — moving millions of pounds from farms, manufacturers, retailers and government programs into the hands of neighbors who can’t reliably afford groceries. As need climbed in 2023 and remained elevated into 2025, food banks tightened their supply-chain playbooks: professional warehousing, demand forecasting, partner coordination, and last-mile distribution are increasingly the difference between a box on a shelf and a meal for a child.

Some black and white data from Feeding America and other sources….

Sourcing: multiple channels, different cost models

Food banks obtain product from four main channels: donated surplus from manufacturers and retailers (food rescue), USDA and other government allocations, purchases funded by grants and donors, and community drives. Retail and manufacturer donations often supply shelf-stable and near-expiry products; for perishables, networks rely more on targeted purchases or rapid redistribution through “last-mile” partners. Feeding America’s national network coordinates large-scale donations and negotiates buy-downs when necessary to stretch budgets. Feeding America+1

Inventory and storage: the warehouse problem

Most food banks operate regional warehouses with a mix of ambient, refrigerated and frozen storage. Inventory management systems track lot numbers, expiration windows, and nutritional categories (e.g., produce vs. protein). Cold-chain integrity is a constant cost center: refrigeration capacity, energy, and vehicle refrigeration units drive capital and operating budgets. Modern food banks are investing in warehouse management systems and demand forecasting to reduce spoilage and match donations to need quickly. Feeding America

Distribution models: hubs, partners, and direct delivery

Distribution happens through three primary models:

1. Partner agencies — local pantries, soup kitchens and shelters pick up bulk loads from regional banks and run client-facing operations. This hub-and-spoke model scales reach without duplicating retail-level costs.

2. Direct distribution — mobile food pantries, box programs and on-site pantries run by the food bank serve communities with limited partner capacity.

3. Programmatic distribution — school meal supplements, senior delivery programs, and medically tailored meal initiatives that require tailored packaging, scheduling and reporting.

Each model has tradeoffs: partner agencies expand geographic coverage at lower marginal cost, while direct distribution preserves quality control and client experience but raises labor and transport spend.

Transportation & last mile: the expensive stretch

Moving pallets is relatively cheap; the last mile is expensive and time-sensitive. Food banks use a mix of contracted carriers, donated truck time from partners, and their own fleets. Route optimization and load consolidation reduce costs, but unpredictable demand spikes — triggered by economic shocks or SNAP changes — force contingency inventories and surge staffing. Investment in refrigerated vehicles and maintenance is a recurring capital requirement.

Technology & data: matching supply to need

To improve efficiency, food banks use inventory-management software, interoperable referral platforms (so clients can find services) and mapping tools that identify food insecurity hotspots. Feeding America’s Map the Meal Gap provides county-level estimates that help allocate resources where they’ll have the biggest impact. These data tools also support advocacy for policy fixes that relieve pressure on the charitable system.

Scale and scope in 2025: the numbers that matter

The most recent national measures rely on 2023 survey data: roughly 13.5% of U.S. households — about 18 million households — experienced food insecurity in 2023, and estimates place around 47 million Americans (including millions of children) affected in that period. Local studies and Feeding America’s Map the Meal Gap show wide geographic and racial disparities, with some counties and demographic groups experiencing rates far above the national average. These figures — the latest widely available benchmarks — guide operational planning and fundraising in 2025. People and leadership: why this matters operationally

Feeding America leaders emphasize both the human and systemic dimensions. Melanie Hall, the network’s chief research officer, framed Map the Meal Gap as a tool for policymakers and community leaders to target resources where children and families are most at risk. “This year’s study shows we still have work to do in creating a future where every child has access to the meals they need to learn, grow, play and thrive,” she said. Claire Babineaux-Fontenot, Feeding America’s CEO, has repeatedly stressed that data must be paired with policy — especially SNAP and other safety-net programs — to reduce acute demand on food banks. These public statements shape where network investments flow (data tools, senior programs, mobile distribution) and help food banks attract corporate, philanthropic and government support.

Business challenges and resilience levers

Key constraints for operators are unpredictable donations, rising food and fuel costs, limited refrigeration capacity, and workforce shortages. Resilience strategies that leaders favor include:

• Investing in forecasting and WMS to cut waste;

• Building stronger retailer partnerships for reliable surplus streams;

• Diversifying funding (earned income through product sales or fee-for-service programs);

Policy advocacy to stabilize SNAP and child nutrition programs, which reduce demand pressure on the charitable sector.

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Not just loading a few cans of green beans into a box, huh?

The challenges food banks face from so many angles – supply, government regulations, non-profit stipulations, donor support, and on and on – is overpowering.

However, the silver lining is that one tried and true fact can overcome these challenges; DONATING!  Whether you donate a few items from your cupboard or organize a massive corporate food donation program, the food banks will welcome you with open arms and a smile.

So, without further ado, The Beacon Group will gladly accept donations for our 2025 food drive. 

Donation deadline is NOVEMBER 21, 2025 (details in flyer above)

HAPPY THANKSGIVING!