Ingka Investments, the investment arm of Ingka Group – the largest IKEA retailer – has taken a minority stake in Vanguard Renewables, a US-based company specialising in converting unavoidable food waste into renewable natural gas through its proprietary anaerobic digestion technology.
The move deepens Ingka’s commitment to circular solutions, with IKEA U.S. already piloting Vanguard’s food waste diversion service at five stores in Wisconsin, Connecticut, Massachusetts and Illinois. Food scraps from in-store Restaurants, Bistros and Swedish Food Markets – including unsellable packaged goods and leftovers – are collected, transported weekly to anaerobic digesters, and processed into renewable natural gas and low-carbon fertiliser for local farmers.
“At IKEA, we see waste as a resource. With Vanguard Renewables, we’re turning our restaurant and Swedish Food Market’s food waste into renewable energy and fertiliser,” said Javier Quiñones, IKEA U.S. Chief Executive and Chief Sustainability Officer. “After reducing our pre-consumer waste by nearly 50% in the past seven years – the equivalent of saving 83,000 meals – we are excited about the next step. This partnership will make every plate count while improving our operational efficiency.”
Following the pilot, IKEA U.S. intends to expand the initiative nationwide, helping cut landfill waste while developing a scalable model for sustainable food retail operations. Ingka has pledged to recycle 100% of operational waste by 2030.
“Vanguard Renewables is on a mission to divert unavoidable food waste from landfills and give it a second life as renewable energy,” added Michael O’Laughlin, Vanguard Renewables’ Chief Executive. “We’re proud to partner with Ingka to scale food waste recycling solutions for retail partners like IKEA and deliver measurable progress towards a more sustainable future.”
Globally, 1.3 billion tonnes of food are wasted each year, generating 8–10% of greenhouse gas emissions, according to the World Resources Institute. In the US, almost 40% of the food supply goes uneaten, with much of it destined for landfill.
Peter van den Poel, Managing Director of Ingka Investments, said the investment aligned with Ingka’s pledge to invest €1 billion in scalable circular solutions. “Addressing our food waste challenge is not just good business, it’s essential for a liveable future,” he said.
Vanguard joins other Ingka-backed firms such as Winnow and RECO in the retailer’s Circular Investments portfolio. The group is seeking to drive systemic change across its operations, from product design and sourcing to extending product life and reducing waste, as part of its transition to a circular business model.
