Closing The Loop

In recent years, India has witnessed a transformative shift in its approach to recycling, driven by the urgent need for environmental sustainability. The Commerce and Industry Minister, Shri Piyush Goyal, recently mentioned this at the 2nd Technology Conference for Growth of the Plastic Industry. He shared that India has done well in recycling.

The country recycles 13 percent of its plastic, which is higher than the global average of 9 percent and even better than some rich countries that only recycle 4 percent.

The idea of a circular economy offers a forward-looking solution to the growing waste management problem. It's not just about reducing waste but also about saving resources and preventing pollution. By promoting circularity in recycling, we can enjoy several benefits. We can save essential resources like metals and materials. It can also create new job opportunities and positively affect society.

Adopting circular practises can benefit us in numerous ways. It helps in conserving resources, creates economic opportunities, and has a positive impact on society. However, establishing a circular economy requires a comprehensive approach encompassing various aspects of production, consumption, waste management, and policymaking.

We are optimistic about the upcoming COP 28, where global leaders will converge to collectively address the urgent challenges in embracing the 'Circular Economy' model.

A Closed-Loop Vision

Think of the circular economy as a circle or loop. Instead of using resources and throwing them away, everyone should focus on finding ways to give them a new life. For example, if you have a toy you no longer want to play with, you can give it to someone else who can still enjoy it instead of tossing it in the trash. This way, the toy is being reused and not wasted. This approach is vital because resources like metals, plastic, and oil are limited and will run out if we don't save them. Plus, using these resources can cause pollution and make climate change worse. Therefore, we must find ways to care for our help and protect the environment.

The circular economy helps protect the environment by reducing our need for new resources and reducing waste. It promotes the idea of recycling materials, such as paper and plastic, and turning them into new products instead of throwing them away. It also encourages repairing and fixing things instead of buying new ones, saving resources, and reducing waste.

India has set bold targets to enhance recycling efforts. By 2030, the country aims to achieve a recycling rate of 30 percent and a more ambitious goal of 60 percent by 2050. The government has taken steps to help reduce waste and protect the environment. Efforts such as the digital Deposit Refund System encourage citizens to dispose of waste correctly, recycle and recover resources, and manage hazardous waste safely.

By recycling and remanufacturing, we can also reduce greenhouse gas emissions, which is important because India has made promises to help fight climate change worldwide. India also wants to have more forests and protect the ones we already have to help combat climate change. All these actions aim to create a sustainable environment and ensure our oceans stay well.

A Shift from Linear to Circular

A transition from the traditional linear economy, characterised by "take, make, dispose of" practises, to a circular economy focuses on reducing, reusing, and regenerating, thereby reducing waste, reusing materials, and regenerating resources. We should consider the following aspects during this transition. Extending product life involves recycling and practises like refurbishment and remanufacturing. When we design products with durability and repairability in mind, they last longer, reducing the need for frequent replacements and conserving resources.

Minimising Resource Extraction deploys new and creative ways to recycle and ensure that products and materials last longer and new resource extraction is better controlled. Minimising resource extraction takes some pressure off our natural resources because we use them less. It also means we don't need as much energy or produce as much pollution when we get new resources and make things out of them.

So, recycling saves resources, uses less energy, and creates less pollution—a win-win situation for the environment and our economy. Raw material extraction, transportation, and processing consume significant energy and contribute to carbon emissions. Circular practises, such as recycling and remanufacturing, require less energy than producing goods from raw materials. This energy efficiency contributes to reducing the carbon footprint of our industrial processes.

Mitigating India's Mounting Waste Challenge

India faces a colossal challenge in managing its escalating waste generation. The circular economy offers a comprehensive solution by advocating the "3 Rs": reduce, reuse, and recycle. This approach encourages waste reduction at its source, promotes the reuse of products and materials, and prioritises recycling to extract value from waste.

Manufacturers should use post-consumer recycled material to make and pack new products to mitigate India's mounting waste challenge.
Reducing electronic waste through circular economy principles promotes responsible recycling of electronics and electrical equipment, which represents a significant part of the waste stream.

When we recycle electronic waste properly, we recover valuable materials like rare earth metals and prevent harmful materials from entering the environment.

Shift in Mindset

Implementing a deposit-refund system on FMCG products can be an effective means of instilling a sense of responsibility towards responsible waste disposal. It encourages recycling, reduces packaging waste, and fosters the mindset that empty packaging has value. 

Recycling is not about waste management; it's about treating discarded materials as valuable resources. Through recycling, we can recover valuable materials, such as metals, plastics, and paper, and reintegrate them into the production cycle. This minimises the need for virgin resources and conserves energy.

Economic Opportunities In A Thriving Recycling Industry

Circularity in recycling isn't just about environmental stewardship; it's also a compelling driver of economic growth. India has the potential to create a thriving recycling industry by adopting sustainable practises. This industry can generate employment opportunities, stimulate innovation in waste management technologies, and contribute significantly to the nation's GDP.

Recycling facilities, remanufacturing units, and waste collection systems are among the sectors poised to enjoy this economic transformation. As these industries expand, they create jobs at various skill levels, from waste pickers and technicians to researchers and entrepreneurs.

This employment generation is particularly impactful in a country with a large and diverse workforce like India. A circular economy fosters innovation in recycling technologies and processes. It incentivises businesses and researchers to find more efficient ways to recover and reuse materials. As these innovations mature, they can attract investment, both from the public and private sectors, driving the growth of a dynamic recycling industry.

As India aims to become a global manufacturing hub, ensuring a stable supply of raw materials is crucial. A robust circular economy can help reduce dependency on imports by providing a local source of secondary raw materials. This economic self-reliance enhances India's resilience in global supply chain disruptions. Businesses that embrace circular practises can gain a competitive advantage in the market.

Consumers prefer products and brands that embrace sustainability and responsible resource management. Companies that prioritise circularity not only contribute to the environment but also enhance their brand reputation.

Social Impact of Embracing Sustainability

The social impact of transitioning to a circular economy is profound. Transitioning to a circular economy has a big impact on society. It has the potential to improve the lives of many waste pickers and informal waste collectors, who play an important role in recycling. By including them in official recycling systems, we can give them better working conditions, better wages, and access to essential social benefits.

For many waste pickers and collectors, working conditions are challenging and often hazardous. Formalising their roles within a circular economy framework allows us to address these issues.

It means providing them with proper safety equipment, training, and support to perform their jobs safely and effectively. Circular practises can lead to economic inclusion by ensuring that those at the bottom of the recycling hierarchy benefit from the value created. Better wages and access to social benefits are not just labour rights, but also essential components of a just and equitable society. Circular practises prioritise the well-being of all participants in the recycling chain.

The integration of waste pickers and informal collectors into formal recycling systems can have a broader impact on communities. As these individuals and families gain financial stability, they contribute to local economic development.

This, in turn, can lead to improved infrastructure, education, and healthcare in these communities. Transitioning to a circular economy can help reduce the informal sector's prevalence, ensuring that recycling is conducted in a regulated and ethical manner.

The Role of Policy in Circular Economy

For the circular economy to flourish in the recycling sector, it requires robust policy support from the government. Effective regulations, incentives, and extended producer responsibility frameworks are essential components of this support system. These policies create an enabling environment for circular practices to thrive while holding businesses accountable for their products' end-of-life impact.

India's latest E-Waste Management Rules, 2022, show how we're doing this. These rules make companies responsible for taking care of their products from start to finish. This means companies have to collect, recycle, and safely get rid of electronic waste. These rules help make sure that electronic waste doesn't hurt the environment or people's health. They also encourage new ideas and investments in recycling.

The concept of EPR, a cornerstone of the circular economy, shifts the onus of waste management from consumers to producers. This encourages businesses to design products with recycling and sustainability in mind. Producers are held responsible for the collection and recycling of their products once they reach the end of their useful life. Government can encourage businesses to use circular practices through incentives like tax breaks and grants.

These incentives can help cover the costs of recycling infrastructure and support businesses in creating sustainable products. To create good policies, different groups need to work together. This includes government agencies, businesses, NGOs, and local communities. When these groups collaborate, they can make rules that are fair, make sense, and meet the needs of everyone involved.

Policies are only effective when they are enforced. Ensuring compliance with recycling regulations and holding violators accountable is essential to maintain the integrity of the circular economy framework. This is necessary to make sure that the circular economy system works properly and is fair for everyone.
Closing the loop in recycling requires collaboration between businesses, government bodies, NGOs, and communities.

Industry associations can establish standards and encourage knowledge exchange to promote circular practices. Local governments can develop efficient waste management systems and educate residents about responsible disposal. NGOs advocate for sustainable policies and support marginalised communities. Knowledge sharing through forums and platforms can foster innovation.

International cooperation can hurry progress by learning from successful initiatives in other countries. Consumer education is crucial in promoting responsible consumption, waste reduction, and recycling. Awareness campaigns can highlight the benefits of a circular economy. Product labels and certifications guide consumers towards sustainable choices.

Educational institutions and NGOs can promote sustainability in curricula and campaigns. Community engagement fosters a sense of responsibility and encourages grassroots recycling programs. Collaborative efforts among these stakeholders are vital in creating a more sustainable future. The transition to a circular economy is not an option; it is imperative for India's recycling sector.

It aligns with our national commitment to environmental sustainability, offers economic opportunities, and has a profound social impact. By nurturing a circular mindset and implementing supportive policies, we can embark on a transformative journey toward a more sustainable and circular future for India's recycling industry.

Together, we can close the loop and build a brighter, more sustainable tomorrow.

(Abhay Deshpande is the founder and CEO, Recykal.)