A circular economy, instead of the ‘make, use, dispose’ approach of a traditional linear economy, aims to eliminate waste by Reusing, Reducing, Recycling, Redesigning, and Repairing resources. It keeps products in circulation as much as possible by reducing material consumption, streamlining processes and collecting waste for reuse, which will reduce raw material use and production-related emissions.
Following the 29th Conference of the Parties (COP29) discussions at the 2024 United Nations Climate Change Conference, let’s look into how the circular economy actually works!
Circular Economy Business Applications
A circular economy uses products or services to their fullest. When a product’s life cycle is over, its materials must be repurposed for the production phase.
The vast array of circularity services available in the market include:
Design, reuse, recycle:
- Life cycle assessment (LCA) study and environmental product declaration
- Recyclability:
- Product and material assessments
- Plastic packaging testing and claims support
- GRS/RCS recycled content certifications
- ISCC PLUS certificationRSB Global Advanced Products Certification
Plastic pollution:
- Prevent plastic pellets – Operation Clean Sweep® certification
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How Businesses Benefit from Circular Economy?
With the above green certifications, organizations involved in circularity will help:
Protect the environment:
- Reusing and recycling products slows the use of natural resources, reduces landscape and habitat disruption and biodiversity loss
- Decrease annual greenhouse gas (GHG) emissions
- Reduce the amount of waste and pollution to protect human health and biodiversity
Reduce raw material dependency:
- Make better use of finite resources to conserve nature
- Recycling raw materials mitigates supply chain usage and the risks associated with supply, such as price volatility and availability
- Decrease the need for critical raw materials like batteries and electric engines, which are crucial to achieving climate goals
Create jobs and save consumers money:
- A circular economy could stimulate US$4.5 trillion in economic opportunities
- Moving toward a circular economy could increase competitiveness
- According to the EU, this could create 700,000 jobs in the EU alone by 2030
- Redesigning materials and products for circular use would boost innovation across numerous sectors
- More durable and innovative products would increase consumers’ quality of life and save them money
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Embrace Circularity in Sourcing Activities!
A strong commitment to sustainability and responsible sourcing has been proven to increase revenue and overall business success. As the demand for ethical and sustainable supply chains continues to grow, choosing a trusted sourcing platform with diverse selections of responsibly sourced products is critical to any business.
Kickstart responsible sourcing at scale at hktdc.com Sourcing today:
At the same time, if you want a physical taste of trade fairs that support sustainability and green economy, click through below banner to reserve your seat:
This article is originally published by SGS:
SGS is the world’s leading testing, inspection and certification company. We are recognized as the global benchmark for sustainability, quality and integrity.
