Promoting the circular economy in Colombia through innovation (ProUSAR)

Context

Increasing industrialisation and urbanisation have intensified the pressure on natural resources and amplified both environmental and social impacts in Colombia. At the same time, Colombian companies show limited product diversification and a relatively low participation in international value chains. The economy requires cutting-edge technologies, more innovative products and operative processes, better resource efficiency as well as a shift towards circularity in materials management.

In response to these challenges, and in line with Colombia’s membership in the Organisation for Economic Co-operation and Development (OECD) since 2020, the country prioritises the sustainable restructuring of its economy with a focus on resource efficiency. On its journey from a linear to a circular economy, new regulatory frameworks emphasising Extended Producer Responsibility as well as new laws for plastics and electrical and electronic devices have been established.

Colombia has made considerable progress in waste management, especially in including recycling sorters in later stages ('downstream'). However, the new challenge lies in improving production and usage processes, which occur earlier in the supply chain ('upstream').

Objective

Colombia’s economy is making positive strides towards a circular economy with a focus on optimising 'upstream' practices in textile, packaging and electronic industries.

Approach

The project focuses are:

• Promoting innovative collaboration by enhancing the alignment between the public and private sectors related to circular economy practices that encourage new ideas and approaches.
• Providing comprehensive business support by helping companies implement disruptive measures and establish a circular economy that conserves resources and protects the environment. The project also conducts comprehensive studies that offer crucial information to facilitate the adoption of these initiatives and informed decision-making.
• Introducing innovative financing through Colombia’s first results-based financing mechanism for circular economy initiatives.
• Leveraging global knowledge and expertise through cooperation with important international actors, the consulting firm IDOM ensures knowledge transfers so that various actors across the value chain benefit from global best practices in the circular economy.

Last update: September 2024