Addressing Plastic Waste in Supply Chains: A Path Towards Sustainability

Plastic wastes have become a serious problem globally, considering the impacts on the environment, health, and the economy. The traditional linear supply chain model has been responsible for resource extraction, product manufacturing, and waste management, which further accelerates plastic pollution. Considering the skyrocketing rate of plastic wastes, industries should forge ahead with circularity and sustainability. In this blog, we’re discussing some of the challenges associated with plastic waste supply chain and strategies that might reshape the industry towards sustainability, with the help of key insights from the latest research and examples from the industry.

Understanding the Scale of Plastic Waste

The Organization for Economic Cooperation and Development projects that plastic production and waste, based on current practices, will triple by 2060. It further argues that less than 20 percent of this would be recycled, while the rest goes to landfills or contributes to environmental pollution. The UN estimated that over 400 million tons are produced annually worldwide, out of which 33% are used only once. That means urgent action is required concerning single-use plastic, and that one has to reconsider the traditional supply chain.

The Push for Circularity

The United Nations Environment Programme has proposed a landmark treaty in an effort to end plastic pollution by 2040. Titled “Turning off the Tap,” the UNEP report calls for changing the market from a linear model into a circular one. This changeover has three basic major shifts: Reuse, Recycle, and Reorient & Diversify.

1. Reuse: Shifting from a throwaway culture to a reuse society would reduce demand for single-use plastics.
2. Recycling: Strengthening the mechanism of recycling systems will yield better economic rewards and increased efficiency for plastic recycling.
3. 3. Reorient and Diversify: This strategy involves the use of sustainable alternatives to conventional plastics, which would be encouraged through enabling regulatory frameworks and consumer demand.

Plastic Supply Chain: Problems

Despite efforts to reduce plastic waste, several issues remain:

1. Inadequate Infrastructure for Recycling: Inadequate infrastructure is one of the major reasons contributing to a lesser volume of plastic waste supply chain. This can be attributed to limited facilities in sorting and processing the numerous different types of plastics, echoed by industry stakeholders such as the Banyan Nation.
2. Lack of Traceability: There is a dire need for proper tracking of plastic material at every link in the value chain. Data intelligence by Banyan Nation demonstrates how companies can achieve 100 percent traceability by tracing and tracking every movement of the recycled resins down from production to waste disposal stages.
3. Single-use plastics The prevalence of single-use plastics remains a major issue. The OECD estimates that 36% of all plastic produced goes to packaging – much of which is used only once before being thrown away.

Strategies for a Circular Plastic Supply Chain

In the context of mitigating these challenges, some key strategies that companies can implement include:

1. Improved Material Traceability

Full tracking systems should be widely implemented to track the life cycle of plastic materials. Using QR codes and data analytics, Banyan Nation has developed a transparency and traceability platform that provides assurance of the recycled resin. This way, it will not just reduce the contamination in the recycling streams but will also provide support for EPR obligations.

Advantages of Traceability:

• Increases the quality of the recycled material.
• Supports EPR compliance so that accountability of plastic wastes would be with the companies themselves.
• Reduces the environmental footprint of the supply chain.

2. Eliminate Single-Use Plastics

With this, companies have to start adopting sustainable packaging to address single-use plastics. The UN’s way of taking out the problematic plastics mainly involves extending the circularity of these products through reuse and recycling. Take-back programs and closed-loop solutions fared well in the UNEP report, as take-up escalates among industries keen on reducing their plastic footprint.

3. The adoption of Circular Business Models

The transition from a linear to a circular business model calls for the design and management of the product at the product’s end-of-life. Recycling content into new products reduces demand for virgin plastics. The UNEP reported that alternative materials and better packaging designs should be neatly reoriented and diversified to expedite a transition to the circular economy.

Key Components:

• Product Redesign: Designing products for recyclability will reflect the characteristics of materials that can easily be reused.
• Recycling Programs: Invest in technology that can recycle more types of plastics.
• Reuse Programs: Educate and incentivise consumers for the reuse of packages.

4. Improving Recycling Infrastructure

Full-scale recycling infrastructure amounts to an effective waste management system as far as plastic is concerned. The OECD insights show that scalability bottlenecks can be solved by industry players through increased mechanical and chemical recycling capacity.

5. Stakeholder Engagement for Collective Action

Collaboration on plastic pollution is needed at all levels of the supply chain. It must be a collaboration of all stakeholders, ranging from manufacturers and suppliers to policymakers and consumers. This can be seen in the way Banyan Nation collaborates with the informal collection and aggregation of waste to help improve recycling operations and recovered materials substantially.

Effective Engagement Strategies:

• Partner with waste management entities to ensure proper waste collection and processing of recyclable plastics.
• Educate consumers on proper disposal methods.
• Work with NGOs and local communities to help with recycling programs.

Extended Producer Responsibility: A Policy Approach

Extended Producer Responsibility is one such critical policy framework that transfers the economic burden, as well as much of the operational responsibility, for waste management from municipalities to producers. Basically, EPR holds companies responsible for the full product life cycle and thus creates incentives both for better product design and investment in recycling infrastructure.

Key Beneficial Factors about EPR:

• Design for Innovation: This will involve the development of products that can be easily recycled.
• Waste Reduction: It lessens the environmental burden caused by plastic waste due to improved rates of recycling.
• Cost Efficiency: Shifts financial responsibility to producers, encouraging more sustainable practices.

Embracing the Circular Economy: The Way Ahead

The future of managing plastic waste depends on the adoption of circular economy principles. By giving priority to reduction, reuse, and recycling of plastic material, it allows companies to rebuild and reorient their supply chains into truly sustainable systems. As the UNEP report “Turning off the Tap” underlines, the holistic strategy of reuse and recycling must include innovative alternatives to traditional plastics.

Steps to implement a circular economy:

1. Design for Circularity: Design products for recyclability and end-of-life.
2. Invest in Technology: Advanced technologies can be employed, such as AI sorting and recycling efficiently.
3. Collaborate for Impact: Engage stakeholders across the supply chain for a collaborated approach to the reduction of waste.

Endnote

This will be a long, difficult journey to a sustainable plastic waste supply chain, but it is achievable if commitment and collaboration from all quarters are there. Material traceability, elimination of single use plastics, the adoption of circular business models, stakeholder engagement, among others, can help bring down environmental impact to a large extent in this context. Companies like Banyan Nation show how embracing the circular economy and EPR shapes up a future where there would be negligible plastic waste and proper use of resources.

With such global initiatives as the UN’s landmark treaty to end plastic pollution by 2040, a shift to a circular supply chain is not just a necessity but a great opportunity for companies to take the lead in sustainability.