Supporting theCircular Economy:
illustrations from the
EU SWITCH programmes
Design:
This publication takes us to a journey across selected economic sectors, with a view to inspiring and encouraging a switch to green, notably circular, practices. Facts and figures on the environmental impact of economic activities are used to explain the challenges faced in each sector. These are complemented with stories from the field, showcasing successful green economy projects with strong replication potential.
Design:
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Sustainable Tourism
Links with Environment / Climate change
Potential adverse effects of tourism development on the environment
The Tourism value chain is a major component of international trade and an important growth factor for many developing countries. Tourism brings income and jobs, but is also an impetus for poverty eradication, gender equality, and importantly, the protection and promotion of our natural and cultural heritage. Tourism also has a special, two-way relationship with the environment. On the one hand, the quality of the environment is essential to tourism’s success, as very often this is what attracts people to visit a place and persuades them to go back. On the other hand, tourism can become the vector of significant pressures and impacts on the environment. Climate change and tourism are closely interlinked, too. While the tourism sector contributes to greenhouse gas emissions, for the most part derived from the transport of tourists, it also faces profound impacts from global warming, with the 3S (sun, sea & sand), the winter and the nature-based tourism segments being most affected. Potential adverse effects of tourism development relate to three main areas: strain on natural resources, pollution, and physical impacts on the land and habitats, typically involving ecosystem degradation.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Sustainable Tourism
Promoting sustainable approaches
Sustainable tourism in development cooperation entails a wide range of interventions, from investments in transportation and other infrastructure to the uptake of sustainable consumption and production practices by MSMEs in the related value chain. Planning for sustainable tourism actions, needs to carefully consider aspects like minimising the need for transportation of people and goods, promoting the purchase and use of zero-emission vehicles and other equipment, giving preference to climate proof, green infrastructure (focusing on nature-based solutions), giving better access to easy and comfortable public transportation, and developing green tourism businesses. These are hotels, restaurants and related companies whose establishments respect the local natural ecosystem, apply appropriate water saving and sewage management measures, are energy-efficient, prioritise the use of renewable energy over fossil fuels, and apply circular economy or other green business models to minimise waste generation. Tourism is closely interlinked with other sectors, such as transport, agriculture, food and beverages, handicrafts and creative sectors, eco-system services, etc. with leverage for supporting a wider promotion of the Green Economy, when developed in a sustainable manner.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Tourism
Approaches
ProjectStory
previous
NEXT
in Tourism
Green practices
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Green
practices
Pressures on
the supply chain
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-food Value Chains
Links with Environment / Climate change
Agri-food value chain environmental linkages
Agriculture is the mainstay of many economies, supporting their food security, export earnings and rural development. The agri-food sector contributes significantly to GDP growth, reduces poverty and provides employment opportunities, especially for women. At the same time, the agri-food sector puts pressure on the environment. The current food systems over-exploit ecosystems leading to land cover change, bio-diversity loss, water and energy consumption, and increased CO2 emissions. As the world's population rises, pressures on the agri-food business and the environment increase. Globalization and a growing middle class in emerging economies drive changes in consumers' choices away from traditional production systems and local food supply chains. Climate change and the agri-food sector are closely interlinked, too. While the agricultural sector contributes to greenhouse gas emissions, it also faces profound impacts from changing weather conditions – leading to crop failure, soil degradation, impacts on livestock and fisheries, and finally to economic losses.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-food Value Chains
Promoting sustainable approaches
Greening the agri-food value-chain provides for increased economic opportunities, innovative processes and operations, upgraded technologies, as well as important social benefits. Promoting sustainable agri-food value-chains in development cooperation entails a combination of interventions: Sustainable value chain approaches promote resource efficiency and the environmental performance of farms and supporting businesses. Farmers need to consider environmental aspects when choosing crops for cultivation and when selecting cultivation systems. Sustainable farming practices can reduce negative externalities (e.g. emissions) and gradually increase positive ones (e.g. carbon sink or biodiversity). Enhancing exportability and both national and international market penetration of green products provides a strong incentive to farmers and producers to uptake sustainable consumption and production. Relevant actions can strengthen compliance with international food hygiene, health and safety standards. The introduction of eco-labelling and certification can boost market acceptance of food products and competitiveness of the producers. Planning for sustainable agri-food value-chains needs to embed circularity and thereby reduce the generation of waste all along the chain.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-foodApproaches
Project
Story
previous
NEXT
Green practices
in the Agri-food Sector
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Primary production
Manufacturing
Retail and comercialisation
Consumption
End-of-life
Increase value
Re-capture value
Environmental pressures
Green practices
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles
Links with Environment / Climate change
Environmental impact of the textile industry
Textiles and clothing are everyday life products making an important contribution to the global economy. The sector provides employment to more than 300 million people along the value chain worldwide (Ellen McArthur Foundation). Globally, the industry sees a rapidly increasing demand. If growth continues as expected, total clothing sales would triple by 2050 (Ellen MacArthur Foundation). As a resource-intensive industry, the textile sector has large social and environmental impact. Textiles production (including cotton farming) is a large water consumer escalating water-scarcity in some regions. Many chemicals used in the production process trigger environmental and health problems. Without proper treatment, the industries’ wastewater constitutes a serious problem. Sourcing wood-based fabrics, like rayon, modal and viscose, increase deforestation. Polyester fabrics discard micro-plastics while washing. Via drinking water and aquatic food chains, micro plastics end up in the human food chain. About 10 percent of total global CO2 emissions emerge from the fashion industry (UNFCC). Approximately 75% of garment workers worldwide are female (ILO). Women’s opportunities are hampered by non-compliance to minimum wages, persistent gender-pay gap and decent work deficits. Due to the sector’s scale and the profile of workers employed, the textile industry nevertheless shows great potential to scale-up both a green economy and a social development. Trends like ‘fast fashion’ with quicker turnaround of new styles and a shorter use time add to the amount of waste generated by the industry. Only 13% of the total material input across the industry is somehow recycled after clothing use. To transform textile waste into raw materials would be a major innovation towards a circular economy.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles
Promoting sustainable approaches
Green economy approaches may address both supply and demand factors across the supply chain, including agricultural practices, textile production processes, product design and functionalities of washing/drying/ironing appliances, as well as sorting and recycling schemes. At the beginning of the supply chain, sustainable farming or forestry practices which reduce or substitute agrochemical use, result in better feedstock. At the processing and production phase, attention needs to be given on resource efficiency. Cleaner production measures can introduce water recycling and the reduction of chemical use and management. Product and process innovations may advance phasing out substances of concern and micro-fibre release. Automation can enhance material efficiency and enable agile made-to-order production cycles. The promotion of good manufacturing as well as occupational health and safety standards strengthens both factories’ competitiveness and workers’ satisfaction. Relevant action towards sustainable textiles can focus on increasing compliance with national and international regulations and introducing companies to Corporate Social Responsibility. The adoption of sustainable procurement can support enterprises to source green feedstock and products. Transparency across the supply chain can be reinforced by certification and eco-labels. Eco-labels or product information can inform the growing group of middle-class consumers who are questioning ‘conventional’ manufacturing processes. Interventions for sustainable textiles can also directly target consumers and thereby tackle demand factors such as consumers’ choices of products/fibres and their care practices in terms of washing, drying and ironing. In the context of fast fashion, actions need to focus on prolonging the lifetime of textiles and the way they are disposed of. The textile value-chain needs to embed circularity. Relevant action may focus on increasing recycling rates, establishing collection channels and thereby generating fresh input for the production.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
TextilesApproaches
Project
Story
previous
NEXT
Green practices
in the textile supply chain
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles supply chain
Re-use
Increase value
Re-capture value
Pressures on the supply chain
Green practices
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Leather Industry
Links with Environment / Climate change
Impacts of leather processing and production
The global production of leather has recorded a steady increase (FAO, 2016). Global footwear production, for example, hit 24.2 billion pairs in 2018, a 2.7% growth over the previous year (World Footwear Yearbook, 2019). Besides footwear, the leather industry supplies the furniture manufacturers, the automotive industry, clothes manufacturers and further leather goods producers. More than half of the world’s supply of leather raw material originates from developing countries (FAO, 2016), contributing to GDP and employment - about 2.5 million people working in the sector in India alone (IJST, 2016). As meat consumption globally rises, the availability of hides and skins as raw materials for the leather industry increases. Disregarding the farming phase, the leather industry causes significant environmental impact due to high water, energy, chemical use and waste generation. The conversion of hides and skins into leather in tanneries is a complex process. If handled incorrectly, the production of leather produces large volumes of hazardous effluent, and waste leather materials that contain chromium in forms that are possibly hazardous to health and the environment. The use of organic solvents and dyes also generates emissions into the air. Contaminated waste from tanneries causes health problems for tannery workers, people living in the immediate neighbourhood of tanneries and in areas downstream from the tanneries. A framework for sustainable leather production exists with recipes, processes, practices and procedures that reduce environmental harm and increase occupational health and safety. As environmental awareness among consumers increases, it can drive future manufacturing towards a Green Economy.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Leather Industry
Promoting sustainable approaches
Green economy approaches in the leather industry entail a wide range of interventions from sustainable sourcing and processing of raw material, to sustainable product design, cleaner production, and green supply chain management. Circularity should be a key principle during tannery processes, leading to resource efficiency. Development cooperation action may support pollution control, safe chemicals management and environmental management during the hide preparation and tanning processes. Introducing water-efficient equipment and associated processes, as well as innovative treatment technologies for water reuse and recycling will reduce water consumption and wastewater quantities. The design, construction, and operation of tannery Effluent Treatment Plants (ETPs) may also be supported, including well established, low cost systems for SME clusters. Circular Economy approaches may push waste minimization strategies through product innovation and eco-design that promote the conversion of solid wastes into saleable by-products.Due attention is needed for human resources. Building appropriate capacities may enable tannery managers and workers to implement environmental management and operate, measure and monitor resource use, effluents, different production areas and modern equipment. Actions can also support companies to comply with environmental legislation and occupational health and safety standards or Best Available Techniques. Transparency across the supply chain can be reinforced by certification and eco-labels. A strong environmental performance, coupled with certified compliance, may create a better image with international buyers and set the basis for a green business strategy.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
LeatherApproaches
Project
Story
previous
NEXT
Green practices
along the leather supply chain
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Increase value
Re-use
Re-capture value
Pressures on the supply chain
Green practices
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Building and Construction
Links with Environment / Climate change
A growing global population coupled with the prevailing urbanisation trends create the right mix for a dynamic building and construction industry. It is expected that built-up areas in developing countries will increase three fold by 2030 (IRP, 2013). More than one-third of global resource consumption is accounted to construction materials and the building sector (Ellen McArthur Foundation 2019). Sand, ubiquitous in construction and industrial production, is the world’s largest resource extracted and traded by volume – though at the expense of nature, with extraction rates surpassing natural sand replenishment rates (UNEP, 2019). Some construction products are a substantial cause of indoor pollution, that may be a risk to the health and well-being of construction workers and building occupants (Brown, et al., 2013). The building and construction industry, including manufacturing of materials and products for building and construction, generates nearly 40% of global energy-related CO2 emissions (UNEP/IEA, 2017). Energy demand from buildings is likely to increase by 50% until 2050 compared with 2015 levels, under business as usual scenarios (UNEP/Global Alliance for Building and Construction, 2018). Decarbonization and dematerialization of the building and construction industry is therefore a significant and needed step towards a green economy. The construction and building sector has great potential for climate change mitigation. The possibilities for energy and emissions savings in buildings remain mostly unexplored as less efficient technologies stay in use, next to a combination of ineffective policies and lack of investments in sustainable buildings and construction in many regions. The IPCC highlights co-benefits of mitigation efforts in the building sector, such as job creation, improved indoor and outdoor air quality, improved climate resilience and adaptive capacity (IPP AR5, 2014).
Potential adverse effects of the construction and building industry
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Building and Construction
Promoting sustainable approaches
Promoting sustainable construction and buildings in development cooperation targets various stages across the life-cycle of buildings, including their design, use, refurbishment, re-use, and end-of-life material recycling and recovery. Relevant actions can focus on improved building design, by ensuring sustainable material choice, energy and water efficiency, as well as thermal and visual comfort during the building’s operation. Lighthouse projects can showcase passive buildings, exemplifying insulation and ventilation techniques besides eliminating indoor pollutants. Actions reducing the energy consumption and emissions attributed to the use of the buildings may focus on efficient heating, cooling and lighting systems. Efficiency schemes in development cooperation can also address lifetime extension and waste reduction. Refurbishment, further to extending the lifetime of a building, can also be a cost-effective strategy to improve energy performance. The implementation of Building Information Modelling (BIM) enables construction professionals to quantify the embodied environmental impact and life-cycle cost performance of buildings. BIM also enables planning for potential future re-use and recycling of demolition materials. Sustainable consumption in the form of high-performance, low-carbon buildings, can be promoted through the design and implementation of complementary policies and market incentives, including mandatory frameworks focusing on building codes and procurement rules. Moreover, certification and labelling schemes for materials, as well rating systems for buildings, can be a driver for both consumers and developers, drawing their attention to green buildings.
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
BuildingApproaches
Project
Story
previous
NEXT
Green practices
Construction and Building
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
previous
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Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Electrical and Electronic Equipment sector
Links with Environment / Climate change
The Electrical and Electronic Equipment (EEE) industry is at the heart of digitalization. In 2016 alone, the annual global consumption of new EEE amounted to 60 Million metric tonnes (Baldé et al., 2017) – with an upward trend. Developing countries typically show growth rates from 10% to 25% (Baldé et al., 2017). Fridges, washing machines, electric furnaces, electric centralized heating units, and flat panel TVs were products that had the largest absolute growth of consumption in terms of weight. Innovation drives consumers’ choices resulting in even shorter replacement cycles for EEE, in particular for mobile phones and computers. Digitalization provides great opportunities for sustainable development with its options for dematerialization. At the same time, information technology has an environmental impact of increasing significance. Material and energy consumption increases, and electronic waste - the so-called e-waste - has become one of the fastest-growing waste streams. E-Waste can contain hazardous substances. If treated inadequately, it poses considerable environmental and health risks related with chemicals pollution. By 2040, carbon emissions and emissions from the use of EEE will increase to 14% of total global emissions (Nordic Council of Ministers, 2019). Most EEE is not designed to facilitate adherence to environmental principles, including circularity and the waste hierarchy. Natural resource use efficiency, material recovery and recycling are still challenges of the sector. Plastics in EE products, for example, comprise 20% of material use, and with eco-design, significant environmental and financial savings could be achieved (Nordic Council of Ministers, 2019).
Potential adverse effects of the Electrical and Electronic Equipement (EEE) Industry
previous
NEXT
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Electrical and Electronic Equipment sector
Promoting sustainable approaches
Actions for a sustainable Electrical and Electronic Equipment industry in development cooperation target various phases of the supply chain, from product design, to production processes and end-of life material recycling and recovery. Strengthening product innovation is required to achieve material efficiency and circular design. Circular designs improve reparability, upgradability, modularity and ease of disassembly, thus allowing recovery of components without destroying them, which in turn enables remanufacturing. Greening the Electrical and Electronic Equipment supply chain can also include actions addressing energy and resource efficiency during production. Improving for example, energy efficiency standards for product groups can be a strong lever to more efficient EEE. Actions can support companies to comply with environmental legislation, occupational health and safety standards or international requirements, including the WEEE, RoHS and REACH Directives. To address the E-waste challenge, development cooperation can also link secondary raw material supply and demand. For example, support could focus on establishing adequate recycling infrastructure for E-waste, developing incentive schemes to upscale collection, engaging scrap dealer associations. By promoting the formalisation of informal businesses, development action can advance safe working conditions for those dismantling hazardous E-waste. Targeting businesses with Extended Producer Responsibility (EPR) can encourage producers taking over the responsibility for the end-of-life management of their used products. Planning for a sustainable electrical and electronic equipment supply chain can also include generating alternative business models that focus on the use of goods and services rather than their ownership, on extending product value through take-back and re-use programmes, and on extending resource value, including by means of promoting the use of secondary raw material, and decreasing or replacing virgin material altogether.
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Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
ElectronicApproaches
Project
Story
previous
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Green practices
Electric and Electronic Equipment Industry
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
ResourceInput
Supply Chain Steps
Green practices
Re-use
Recycling recovery
Re-manufacturing
previous
Supporting
the
Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Photo credits
Unless specified in the image, all pictures are © Shutterstock
Sources Infographic on textiles Mc Kinsey
www.ellenmacarthurfoundation.org/assets/downloads/A-New-
Textiles-Economy_Full-Report_Updated_1-12-17.pdf
Boucher, J. & Friot, D. Primary Microplastics in the Oceans: a
Global Evaluation of Sources. IUCN, Gland, Switzerland, 43pp
(2017).
Sources photos on leather https://www.la-croix.com/Economie/Au-Kenya-restes-poisson-
donnent-objets-mode-cuir-2018-07-15-1300955169
https://face2faceafrica.com/article/kenyan-entrepreneur-builds-
100000-business-selling-leather-made-from-fish-skin
© European Union, 2019 - Responsibility for the information and views set out in this publication lies entirely with the authors
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Transcript
Supporting theCircular Economy:
illustrations from the EU SWITCH programmes
Design:
This publication takes us to a journey across selected economic sectors, with a view to inspiring and encouraging a switch to green, notably circular, practices. Facts and figures on the environmental impact of economic activities are used to explain the challenges faced in each sector. These are complemented with stories from the field, showcasing successful green economy projects with strong replication potential.
Design:
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Sustainable Tourism
Links with Environment / Climate change
Potential adverse effects of tourism development on the environment
The Tourism value chain is a major component of international trade and an important growth factor for many developing countries. Tourism brings income and jobs, but is also an impetus for poverty eradication, gender equality, and importantly, the protection and promotion of our natural and cultural heritage. Tourism also has a special, two-way relationship with the environment. On the one hand, the quality of the environment is essential to tourism’s success, as very often this is what attracts people to visit a place and persuades them to go back. On the other hand, tourism can become the vector of significant pressures and impacts on the environment. Climate change and tourism are closely interlinked, too. While the tourism sector contributes to greenhouse gas emissions, for the most part derived from the transport of tourists, it also faces profound impacts from global warming, with the 3S (sun, sea & sand), the winter and the nature-based tourism segments being most affected. Potential adverse effects of tourism development relate to three main areas: strain on natural resources, pollution, and physical impacts on the land and habitats, typically involving ecosystem degradation.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Sustainable Tourism
Promoting sustainable approaches
Sustainable tourism in development cooperation entails a wide range of interventions, from investments in transportation and other infrastructure to the uptake of sustainable consumption and production practices by MSMEs in the related value chain. Planning for sustainable tourism actions, needs to carefully consider aspects like minimising the need for transportation of people and goods, promoting the purchase and use of zero-emission vehicles and other equipment, giving preference to climate proof, green infrastructure (focusing on nature-based solutions), giving better access to easy and comfortable public transportation, and developing green tourism businesses. These are hotels, restaurants and related companies whose establishments respect the local natural ecosystem, apply appropriate water saving and sewage management measures, are energy-efficient, prioritise the use of renewable energy over fossil fuels, and apply circular economy or other green business models to minimise waste generation. Tourism is closely interlinked with other sectors, such as transport, agriculture, food and beverages, handicrafts and creative sectors, eco-system services, etc. with leverage for supporting a wider promotion of the Green Economy, when developed in a sustainable manner.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Tourism Approaches
ProjectStory
previous
NEXT
in Tourism
Green practices
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Green practices
Pressures on the supply chain
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-food Value Chains
Links with Environment / Climate change
Agri-food value chain environmental linkages
Agriculture is the mainstay of many economies, supporting their food security, export earnings and rural development. The agri-food sector contributes significantly to GDP growth, reduces poverty and provides employment opportunities, especially for women. At the same time, the agri-food sector puts pressure on the environment. The current food systems over-exploit ecosystems leading to land cover change, bio-diversity loss, water and energy consumption, and increased CO2 emissions. As the world's population rises, pressures on the agri-food business and the environment increase. Globalization and a growing middle class in emerging economies drive changes in consumers' choices away from traditional production systems and local food supply chains. Climate change and the agri-food sector are closely interlinked, too. While the agricultural sector contributes to greenhouse gas emissions, it also faces profound impacts from changing weather conditions – leading to crop failure, soil degradation, impacts on livestock and fisheries, and finally to economic losses.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-food Value Chains
Promoting sustainable approaches
Greening the agri-food value-chain provides for increased economic opportunities, innovative processes and operations, upgraded technologies, as well as important social benefits. Promoting sustainable agri-food value-chains in development cooperation entails a combination of interventions: Sustainable value chain approaches promote resource efficiency and the environmental performance of farms and supporting businesses. Farmers need to consider environmental aspects when choosing crops for cultivation and when selecting cultivation systems. Sustainable farming practices can reduce negative externalities (e.g. emissions) and gradually increase positive ones (e.g. carbon sink or biodiversity). Enhancing exportability and both national and international market penetration of green products provides a strong incentive to farmers and producers to uptake sustainable consumption and production. Relevant actions can strengthen compliance with international food hygiene, health and safety standards. The introduction of eco-labelling and certification can boost market acceptance of food products and competitiveness of the producers. Planning for sustainable agri-food value-chains needs to embed circularity and thereby reduce the generation of waste all along the chain.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Agri-foodApproaches
Project Story
previous
NEXT
Green practices
in the Agri-food Sector
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Primary production
Manufacturing
Retail and comercialisation
Consumption
End-of-life
Increase value
Re-capture value
Environmental pressures
Green practices
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles
Links with Environment / Climate change
Environmental impact of the textile industry
Textiles and clothing are everyday life products making an important contribution to the global economy. The sector provides employment to more than 300 million people along the value chain worldwide (Ellen McArthur Foundation). Globally, the industry sees a rapidly increasing demand. If growth continues as expected, total clothing sales would triple by 2050 (Ellen MacArthur Foundation). As a resource-intensive industry, the textile sector has large social and environmental impact. Textiles production (including cotton farming) is a large water consumer escalating water-scarcity in some regions. Many chemicals used in the production process trigger environmental and health problems. Without proper treatment, the industries’ wastewater constitutes a serious problem. Sourcing wood-based fabrics, like rayon, modal and viscose, increase deforestation. Polyester fabrics discard micro-plastics while washing. Via drinking water and aquatic food chains, micro plastics end up in the human food chain. About 10 percent of total global CO2 emissions emerge from the fashion industry (UNFCC). Approximately 75% of garment workers worldwide are female (ILO). Women’s opportunities are hampered by non-compliance to minimum wages, persistent gender-pay gap and decent work deficits. Due to the sector’s scale and the profile of workers employed, the textile industry nevertheless shows great potential to scale-up both a green economy and a social development. Trends like ‘fast fashion’ with quicker turnaround of new styles and a shorter use time add to the amount of waste generated by the industry. Only 13% of the total material input across the industry is somehow recycled after clothing use. To transform textile waste into raw materials would be a major innovation towards a circular economy.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles
Promoting sustainable approaches
Green economy approaches may address both supply and demand factors across the supply chain, including agricultural practices, textile production processes, product design and functionalities of washing/drying/ironing appliances, as well as sorting and recycling schemes. At the beginning of the supply chain, sustainable farming or forestry practices which reduce or substitute agrochemical use, result in better feedstock. At the processing and production phase, attention needs to be given on resource efficiency. Cleaner production measures can introduce water recycling and the reduction of chemical use and management. Product and process innovations may advance phasing out substances of concern and micro-fibre release. Automation can enhance material efficiency and enable agile made-to-order production cycles. The promotion of good manufacturing as well as occupational health and safety standards strengthens both factories’ competitiveness and workers’ satisfaction. Relevant action towards sustainable textiles can focus on increasing compliance with national and international regulations and introducing companies to Corporate Social Responsibility. The adoption of sustainable procurement can support enterprises to source green feedstock and products. Transparency across the supply chain can be reinforced by certification and eco-labels. Eco-labels or product information can inform the growing group of middle-class consumers who are questioning ‘conventional’ manufacturing processes. Interventions for sustainable textiles can also directly target consumers and thereby tackle demand factors such as consumers’ choices of products/fibres and their care practices in terms of washing, drying and ironing. In the context of fast fashion, actions need to focus on prolonging the lifetime of textiles and the way they are disposed of. The textile value-chain needs to embed circularity. Relevant action may focus on increasing recycling rates, establishing collection channels and thereby generating fresh input for the production.
previous
NEXT
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
TextilesApproaches
Project Story
previous
NEXT
Green practices
in the textile supply chain
Supporting the Circular Economy
Tourism
Supporting the Circular Economy
Agri-food
Textile
Leather
Building
Electronic
Textiles supply chain
Re-use
Increase value
Re-capture value
Pressures on the supply chain
Green practices
previous
NEXT
Supporting the Circular Economy
Tourism
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Leather Industry
Links with Environment / Climate change
Impacts of leather processing and production
The global production of leather has recorded a steady increase (FAO, 2016). Global footwear production, for example, hit 24.2 billion pairs in 2018, a 2.7% growth over the previous year (World Footwear Yearbook, 2019). Besides footwear, the leather industry supplies the furniture manufacturers, the automotive industry, clothes manufacturers and further leather goods producers. More than half of the world’s supply of leather raw material originates from developing countries (FAO, 2016), contributing to GDP and employment - about 2.5 million people working in the sector in India alone (IJST, 2016). As meat consumption globally rises, the availability of hides and skins as raw materials for the leather industry increases. Disregarding the farming phase, the leather industry causes significant environmental impact due to high water, energy, chemical use and waste generation. The conversion of hides and skins into leather in tanneries is a complex process. If handled incorrectly, the production of leather produces large volumes of hazardous effluent, and waste leather materials that contain chromium in forms that are possibly hazardous to health and the environment. The use of organic solvents and dyes also generates emissions into the air. Contaminated waste from tanneries causes health problems for tannery workers, people living in the immediate neighbourhood of tanneries and in areas downstream from the tanneries. A framework for sustainable leather production exists with recipes, processes, practices and procedures that reduce environmental harm and increase occupational health and safety. As environmental awareness among consumers increases, it can drive future manufacturing towards a Green Economy.
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Leather Industry
Promoting sustainable approaches
Green economy approaches in the leather industry entail a wide range of interventions from sustainable sourcing and processing of raw material, to sustainable product design, cleaner production, and green supply chain management. Circularity should be a key principle during tannery processes, leading to resource efficiency. Development cooperation action may support pollution control, safe chemicals management and environmental management during the hide preparation and tanning processes. Introducing water-efficient equipment and associated processes, as well as innovative treatment technologies for water reuse and recycling will reduce water consumption and wastewater quantities. The design, construction, and operation of tannery Effluent Treatment Plants (ETPs) may also be supported, including well established, low cost systems for SME clusters. Circular Economy approaches may push waste minimization strategies through product innovation and eco-design that promote the conversion of solid wastes into saleable by-products.Due attention is needed for human resources. Building appropriate capacities may enable tannery managers and workers to implement environmental management and operate, measure and monitor resource use, effluents, different production areas and modern equipment. Actions can also support companies to comply with environmental legislation and occupational health and safety standards or Best Available Techniques. Transparency across the supply chain can be reinforced by certification and eco-labels. A strong environmental performance, coupled with certified compliance, may create a better image with international buyers and set the basis for a green business strategy.
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Increase value
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Pressures on the supply chain
Green practices
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Building and Construction
Links with Environment / Climate change
A growing global population coupled with the prevailing urbanisation trends create the right mix for a dynamic building and construction industry. It is expected that built-up areas in developing countries will increase three fold by 2030 (IRP, 2013). More than one-third of global resource consumption is accounted to construction materials and the building sector (Ellen McArthur Foundation 2019). Sand, ubiquitous in construction and industrial production, is the world’s largest resource extracted and traded by volume – though at the expense of nature, with extraction rates surpassing natural sand replenishment rates (UNEP, 2019). Some construction products are a substantial cause of indoor pollution, that may be a risk to the health and well-being of construction workers and building occupants (Brown, et al., 2013). The building and construction industry, including manufacturing of materials and products for building and construction, generates nearly 40% of global energy-related CO2 emissions (UNEP/IEA, 2017). Energy demand from buildings is likely to increase by 50% until 2050 compared with 2015 levels, under business as usual scenarios (UNEP/Global Alliance for Building and Construction, 2018). Decarbonization and dematerialization of the building and construction industry is therefore a significant and needed step towards a green economy. The construction and building sector has great potential for climate change mitigation. The possibilities for energy and emissions savings in buildings remain mostly unexplored as less efficient technologies stay in use, next to a combination of ineffective policies and lack of investments in sustainable buildings and construction in many regions. The IPCC highlights co-benefits of mitigation efforts in the building sector, such as job creation, improved indoor and outdoor air quality, improved climate resilience and adaptive capacity (IPP AR5, 2014).
Potential adverse effects of the construction and building industry
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Building and Construction
Promoting sustainable approaches
Promoting sustainable construction and buildings in development cooperation targets various stages across the life-cycle of buildings, including their design, use, refurbishment, re-use, and end-of-life material recycling and recovery. Relevant actions can focus on improved building design, by ensuring sustainable material choice, energy and water efficiency, as well as thermal and visual comfort during the building’s operation. Lighthouse projects can showcase passive buildings, exemplifying insulation and ventilation techniques besides eliminating indoor pollutants. Actions reducing the energy consumption and emissions attributed to the use of the buildings may focus on efficient heating, cooling and lighting systems. Efficiency schemes in development cooperation can also address lifetime extension and waste reduction. Refurbishment, further to extending the lifetime of a building, can also be a cost-effective strategy to improve energy performance. The implementation of Building Information Modelling (BIM) enables construction professionals to quantify the embodied environmental impact and life-cycle cost performance of buildings. BIM also enables planning for potential future re-use and recycling of demolition materials. Sustainable consumption in the form of high-performance, low-carbon buildings, can be promoted through the design and implementation of complementary policies and market incentives, including mandatory frameworks focusing on building codes and procurement rules. Moreover, certification and labelling schemes for materials, as well rating systems for buildings, can be a driver for both consumers and developers, drawing their attention to green buildings.
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Electrical and Electronic Equipment sector
Links with Environment / Climate change
The Electrical and Electronic Equipment (EEE) industry is at the heart of digitalization. In 2016 alone, the annual global consumption of new EEE amounted to 60 Million metric tonnes (Baldé et al., 2017) – with an upward trend. Developing countries typically show growth rates from 10% to 25% (Baldé et al., 2017). Fridges, washing machines, electric furnaces, electric centralized heating units, and flat panel TVs were products that had the largest absolute growth of consumption in terms of weight. Innovation drives consumers’ choices resulting in even shorter replacement cycles for EEE, in particular for mobile phones and computers. Digitalization provides great opportunities for sustainable development with its options for dematerialization. At the same time, information technology has an environmental impact of increasing significance. Material and energy consumption increases, and electronic waste - the so-called e-waste - has become one of the fastest-growing waste streams. E-Waste can contain hazardous substances. If treated inadequately, it poses considerable environmental and health risks related with chemicals pollution. By 2040, carbon emissions and emissions from the use of EEE will increase to 14% of total global emissions (Nordic Council of Ministers, 2019). Most EEE is not designed to facilitate adherence to environmental principles, including circularity and the waste hierarchy. Natural resource use efficiency, material recovery and recycling are still challenges of the sector. Plastics in EE products, for example, comprise 20% of material use, and with eco-design, significant environmental and financial savings could be achieved (Nordic Council of Ministers, 2019).
Potential adverse effects of the Electrical and Electronic Equipement (EEE) Industry
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Electrical and Electronic Equipment sector
Promoting sustainable approaches
Actions for a sustainable Electrical and Electronic Equipment industry in development cooperation target various phases of the supply chain, from product design, to production processes and end-of life material recycling and recovery. Strengthening product innovation is required to achieve material efficiency and circular design. Circular designs improve reparability, upgradability, modularity and ease of disassembly, thus allowing recovery of components without destroying them, which in turn enables remanufacturing. Greening the Electrical and Electronic Equipment supply chain can also include actions addressing energy and resource efficiency during production. Improving for example, energy efficiency standards for product groups can be a strong lever to more efficient EEE. Actions can support companies to comply with environmental legislation, occupational health and safety standards or international requirements, including the WEEE, RoHS and REACH Directives. To address the E-waste challenge, development cooperation can also link secondary raw material supply and demand. For example, support could focus on establishing adequate recycling infrastructure for E-waste, developing incentive schemes to upscale collection, engaging scrap dealer associations. By promoting the formalisation of informal businesses, development action can advance safe working conditions for those dismantling hazardous E-waste. Targeting businesses with Extended Producer Responsibility (EPR) can encourage producers taking over the responsibility for the end-of-life management of their used products. Planning for a sustainable electrical and electronic equipment supply chain can also include generating alternative business models that focus on the use of goods and services rather than their ownership, on extending product value through take-back and re-use programmes, and on extending resource value, including by means of promoting the use of secondary raw material, and decreasing or replacing virgin material altogether.
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ResourceInput
Supply Chain Steps
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Photo credits Unless specified in the image, all pictures are © Shutterstock Sources Infographic on textiles Mc Kinsey www.ellenmacarthurfoundation.org/assets/downloads/A-New- Textiles-Economy_Full-Report_Updated_1-12-17.pdf Boucher, J. & Friot, D. Primary Microplastics in the Oceans: a Global Evaluation of Sources. IUCN, Gland, Switzerland, 43pp (2017). Sources photos on leather https://www.la-croix.com/Economie/Au-Kenya-restes-poisson- donnent-objets-mode-cuir-2018-07-15-1300955169 https://face2faceafrica.com/article/kenyan-entrepreneur-builds- 100000-business-selling-leather-made-from-fish-skin
© European Union, 2019 - Responsibility for the information and views set out in this publication lies entirely with the authors
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