Should be made illegal yes, but most places here in the states it is the law itself requiring this action/behavior when dealing with food past the "sell by" or expiration dates.

There was a report on this a few years back, I can't even remember what network covered it, but it showed the managers of some of the stores explaining the requirement to dispose of it. Some of them you could hear in their voices how much it upset them to do it. There was a part about how if the item was a "dry good" like cereal/crackers and the like it could be donated to second-hand food banks or stores if it gets relabeled as expired. But everything else hits the trash.

As you mentioned, all the produce and organic based foods could have been composted or some resold and used in ethanol bio fuels, but the law says they have to dispose of it.

It's sad and another reason I try to grow what I can to reduce my reliance on the system.

Thanks Mark.