Traditional way of producing and consuming products is linear: raw materials are processed to produced end products that will be consumed. Throughout the production and consumption processes, wastes are produced and thrown away. By the end of its lifetime, the products are also thrown away as waste.
Circular economy is another way of looking at production and consumption. In Circular economy, the use of extracted raw materials is to be minimized as it seeks to find materials that are otherwise wasted from within or outside of its industry. It also seeks to prolong the lifetime of the products. Five principles of a circular economy are reduce, reuse, recycle, refurbish, and renew.
With AlphaBeta and SystemIQ, in partnership with the Ministry of National Development Planning (Bappenas), funded by the Government of Denmark through the United Nations Development Program (UNDP), Landscape Indonesia facilitates the conceptualization of circular economy in Indonesia. The consortium is facilitating the development of a roadmap for the application of circular economy starting from five sectors, namely food and beverages, retail (packaging), electronics, construction, and textile (fashion) sectors.