Executive Summary:
As industries worldwide grapple with rising raw material costs and environmental concerns, businesses are increasingly embracing the circular economy—a model focused on reusing, repairing, and recycling to minimize waste. This shift is proving not just sustainable but also profitable, with Goldman Sachs estimating the global economic benefit could reach $4.5 trillion by 2030.
Companies across diverse sectors, from jewelry and fashion to food and technology, are innovating new ways to operate within circular systems. Notable examples include Sonalore, a jewelry brand that buys back pieces from customers, and De Clique, a Dutch company transforming food waste into new products. Even entire cities, such as Glasgow and Amsterdam, have pledged to become fully circular by 2045 and 2050, respectively.
Investment in circular economy businesses is on the rise, with major firms like Lenovo, Veolia, and Waste Management leading the charge. However, challenges remain in disclosures and transparency, prompting regulations in regions like the EU and Singapore, which are now mandating sustainability reporting.
One of the most pressing concerns addressed by circular models is food waste, with 1 billion meals wasted daily while over 700 million people face hunger. Organizations like the Ellen MacArthur Foundation and KosmodeHealth are tackling this issue by redesigning food systems for greater sustainability.
As consumers—especially younger generations—prioritize ethical consumption and resale value, businesses must adapt. Entrepreneurs like Nidhi Singhvi see technology and transparency as key to unlocking circular opportunities in traditionally opaque industries.
With investors, corporations, and policymakers recognizing the financial and environmental imperative of circular practices, this shift is not just a trend but a necessity for long-term economic and ecological resilience.
Read full article@www.cnbc.com
