Takeaways

• Freshflow has raised $10 million in Series A funding to scale its AI-driven retail platform.
• The company aims to reduce food waste in grocery stores using advanced forecasting and inventory tools for fresh products.
• New funding will support expansion across Europe and into additional fresh food categories like meat and bakery.

Berlin-based food supply chain technology company Freshflow has announced that it has raised $10 million in a Series A funding round. The capital will be used to scale its AI-powered platform designed to help grocery retailers reduce food waste while improving inventory efficiency.

The round highlights growing investor interest in food waste reduction solutions powered by artificial intelligence. According to Freshflow, many existing grocery forecasting systems were originally built for packaged goods and are not suited for fresh food, which has a much shorter shelf life. As a result, nearly one-third of fresh food purchased by European grocers, worth more than €200 billion annually, is wasted before it reaches consumers.

Read More: Cutting Costs and Emissions: Food Waste in Hospitality Under the Spotlight

Founded in 2021 by AI researcher Avik Mukhija at ETH Zurich, Freshflow has built an AI inventory management platform focused on improving order forecasting, replenishment, and stock control for fresh products. The system is designed specifically for the complexities of fresh food retail, where demand can change quickly, and products expire within days.

The company reports strong early results from its grocery retail technology platform. Retailers using Freshflow have reduced spoilage by up to 30% per store and increased revenue by 2% to 4%. In addition, store staff reportedly accept 93% of the platform’s recommendations, significantly higher than the industry average of 50% to 60%.

Freshflow’s solution is already integrated into daily operations at nine major grocery retailers across Germany and France, including independent merchants operating within groups such as EDEKA, Carrefour, Intermarché, and Stroetmann.

The newly raised capital will help the company expand beyond fresh produce into other categories, such as meat, bakery, and in-store production by the fourth quarter of 2026. Freshflow also plans to broaden its platform across the wider sustainable supply chain, extending from stores to warehouses, distribution centers, and producers under its “From Store to Source” strategy. Expansion into additional European markets is expected in 2027, alongside workforce growth.

“This round gives us the means to scale what we’ve proven, and structurally fix one of Europe’s largest sources of waste,” said co-founder Avik Mukhija.

The funding round was led by Reimann Investors, with participation from existing backers including Capnamic, alongside new co-investors such as IBB Ventures and Cindy Beckel.

Samuel Schuler, Managing Director at Reimann Investors, said the company stood out for combining a large market opportunity with a clear operational problem and a product that delivers measurable value.

Also Read: 8 Circular Economy & Waste Management Solutions Transforming Sustainability

With this latest funding, Freshflow is positioning itself as a key player in fresh food forecasting and AI-driven retail transformation, aiming to make grocery supply chains more efficient and less wasteful across Europe.

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Source: ESGtoday