Responsible Sourcing Initiative: Uplifting informal waste workers to streamline recycling value chain

27 Jun 2023 --- Non-profit organization, The Circulate Initiative, has launched the Responsible Sourcing Initiative with program funding from Minderoo Foundation and The Coca-Cola Company, recognizing the roles and contributions of the informal waste workers.

By convening and facilitating value chain actors to adopt harmonized responsible sourcing practices, the initiative has set targets to improve livelihoods for an estimated 50,000 informal waste workers. It plans to act on the commitment of over 25 global brands, investors, recyclers and aggregators by 2025. 

The initiative comes on the back of the mandate to prepare the first draft of the global legally binding instrument on plastic pollution by the end of November. 

“Our Responsible Sourcing Initiative aims to drive systemic change across the entire value chain, bringing together brands, investors, recyclers, aggregators and waste worker associations to adopt harmonized responsible sourcing practices,” Annerieke Douma, director of programs at The Circulate Initiative, tells Packaging Insights.

“It will create alignment on an action-oriented framework and a shared understanding of responsible sourcing, including success metrics and tools to improve traceability and transparency. In doing so, the initiative will support companies on the ground to shift toward responsible supply chains that safeguard human rights, especially for informal waste workers at the frontline.”

Responsible Sourcing Initiative aims to offer a systemic approach to build inclusive and resilient recycled plastic supply chains across emerging markets.Demand and regulation
Joining the program sponsors, the Responsible Sourcing Initiative is supported by Circulate Capital, First Mile and Tearfund as partners. On-ground activities will be supported by strategic implementation partners across the plastics waste value chain, including brands, investors, recycling and collection companies and informal waste worker associations.

“Growing brand commitments to reduce virgin plastic packaging, and policies encouraging or mandating the use of recycled plastic content, are driving demand for recycled feedstock globally,” Douma tells us.

“In addition, stricter regulations to disclose the impact of supply chain activities on people and the environment are pushing brands to ensure recycled materials are obtained in socially responsible ways – for example, the Corporate Sustainability Reporting Directive introduced in Europe in January. Transparent and ethical supply chains are essential for brands to meet these obligations and manage their risks.”

Earlier this year, a Minderoo Foundation report found single-use plastic is at an all-time high, reveals. According to the report, an additional six million metric tons of single-use plastics were produced from 2019 to 2021.

“Scaling the collection and recycling of the plastic waste in the Global South is of critical importance in stopping leakage of plastic into the environment, ending plastic pollution and the harms it causes health, nature and economies,” says Marcus Gover, director of the Plastics Initiative at Minderoo Foundation.

“We need transformational change across the entire value chain, and we must ensure that this change is inclusive and no longer overlooks the well-being of informal waste and recovery workers.” 

Paul Lalli, global vice president of human rights at The Coca-Cola Company, adds: “We recognize our responsibility to help solve complex plastic waste challenges facing our planet and society, and this includes working to secure the rights of informal waste workers.”

“The scale of the plastic waste recycling supply chain requires collaboration to achieve true impact. We look forward to working closely with The Circulate Initiative and fellow partners of the Responsible Sourcing Initiative to help empower informal waste workers and advocate for greater inclusivity.”

Furthermore, a spokesperson from The Coca-Cola Company previously told Packaging Insights that there are well-known ongoing challenges around meeting the supply demands for sourcing high-quality food-grade recycled PET globally. The company, together with its bottling partners, is investing in building a sustainable system for packaging circularity across Southeast Asia.Annerieke Douma, director of programs at The Circulate Initiative

Recycled plastic value chain
Plastic waste management and recycling rely on the informal sector, which comprises an estimated 15-20 million workers globally, according to the International Labour Office (2013). Meanwhile, informal waste workers are responsible for approximately 58% of collected and recycled plastic waste. 

As companies gear up to deliver on their sustainability commitments in the face of increased scrutiny from regulatory bodies such as the EU, there is growing momentum to create responsible supply chains for recycled plastic, details The Circulate Initiative. 

Against increased urgency, the Responsible Sourcing Initiative offers a systemic approach to building inclusive and resilient recycled plastic supply chains across emerging markets. Key activities include:

• Alignment on an action-oriented framework that forms a shared understanding of responsible sourcing, success metrics and how progress will be tracked.

• Identifying and investing in projects in India, Indonesia, Kenya and Vietnam to improve human rights practices and increase the supply of responsibly sourced recycled plastics. 

• Measuring impact and disseminating findings from local projects to replicate success in other markets.

• Conducting research with global and local partners to fill knowledge gaps and provide localized supply chain assessments.

“The global plastics treaty marks an important step forward in ending plastic pollution and advancing circularity, but these outcomes cannot happen without the valuable contribution of the informal workforce. The treaty must guarantee a fair, just and inclusive transition, where workers are empowered with the tools and resources to participate in the circular economy fully,” says Douma.

“The Responsible Sourcing Initiative is designed to ensure informal workers are treated fairly and adequately compensated for their contributions to the industry. By recognizing them as integral actors in the recycled plastic supply chain, we will be able to build more efficient and effective waste management systems.” 

By Radhika Sikaria