How to integrate industrial waste into Africa’s circular economy

From the newsletter

A report by an Indian think tank, the Centre for Science and Environment, suggests Africa’s often-overlooked manufacturing waste can be integrated into the circular economy. It proposes solutions such as waste inventorying, policy reforms, financial incentives and industrial symbiosis to enhance sustainability and reduce the sector’s environmental impact.

• Africa’s industrial waste sector remains a blind spot in circular economy strategies, despite its economic and environmental impact. A lack of waste tracking makes it difficult to quantify resources, while weak policies and financial disincentives keep industries in a linear model.

• Weak policies and financial disincentives keep Africa’s industrial waste sector locked in a linear model. Unlike plastics and municipal waste, industrial waste recycling lacks government subsidies, tax breaks, or waste-exchange frameworks.

More details

• Published on March 25, the 72-page report, Africa’s Wasted Potential: Unlocking Industrial Waste in Circularity, highlights how industrial waste remains largely ignored in Africa’s waste management policies, which prioritise municipal and plastic waste. 

• It underscores the environmental impact of this oversight. Africa’s manufacturing sector contributes 30–40% of the continent’s total greenhouse gas (GHG) emissions and without intervention, these emissions could double by 2050.  Although Africa accounts for just 3% of global industrial emissions, CSE cautions that emissions could climb to 830 MtCO₂e by 2050 driven by Africa’s rapid industrial expansion if industrial waste remains outside circular economy models.

• Despite these alarming projections, policymakers lack the necessary data to address industrial waste’s contribution to emissions. CSE identifies a severe data gap in waste management as a major obstacle to integrating industrial waste into Africa’s circular economy, with many countries lacking comprehensive records on waste types, volumes and management processes

• Among the ten nations whose regulators provided data to CSE, Kenya, Tanzania, Uganda, Ethiopia and Rwanda had no formal records on industrial waste generation, recycling, or disposal—despite experiencing rapid industrialisation. The  lack of structured data hinders policy development, discourages investment and limits opportunities to transform industrial waste into valuable resources.

• Africa’s waste policies also fail to regulate industrial waste effectively. Extended Producer Responsibility (EPR) schemes, which govern post-consumer waste, do not apply to industrial byproducts from manufacturing. This regulatory gap leaves no clear classification, tracking, or incentives for industrial waste reuse. 

• While plastics and municipal waste benefit from government subsidies, tax breaks and structured collection programs, the report notes that industrial waste processing remains financially unsupported. Without incentives such as tax reductions, transport subsidies, or levies on virgin raw materials, industries find disposal more cost-effective than repurposing waste, which is often expensive. 

• Even when financial barriers are removed, industries still face structural challenges in waste reuse, particularly the lack of industrial symbiosis.CSE highlights that in developed economies, one industry’s waste serves as another’s raw material, creating efficient resource loops. However, in Africa, policy frameworks rarely promote industrial symbiosis and structured waste-exchange platforms are lacking. Without mechanisms to facilitate cross-industry resource sharing, industries struggle to repurpose materials, leading to unnecessary waste accumulation and lost economic opportunities.

• Without intervention, Africa risks missing out on a major economic opportunity. To close these gaps, CSE recommends. To close these gaps, CSE recommends establishing national waste inventories that categorise industrial waste by type, production process and disposal method. A well-structured inventory would provide visibility into waste flows, making policy design and investment decisions more effective. 

• Financial incentives will be crucial in shifting industries toward circular models. CSE urges African governments to introduce tax breaks, subsidies and levies that encourage industries to use secondary materials over virgin resources. Without these economic motivators, industries are unlikely to prioritise circularity.

• Beyond financial and policy reforms,CSE highlights the need for investments in waste collection, sorting and processing facilities. Even industries willing to recycle face logistical challenges due to inadequate infrastructure. 

• The think tank also recognises that technical guidance remains a critical gap. The report highlights the need for clear guidelines, best-practice manuals and knowledge-sharing platforms to help industries scale successful models and prevent circular economy efforts from being isolated pilot projects.

• By adopting these measures, CSE is confident that African nations will effectively address systemic barriers and promote the integration of industrial waste into circularity. The shift will help industries achieve net-zero targets while enhancing resource efficiency, reducing greenhouse gas emissions, lowering costs, improving energy efficiency and creating jobs.

Our take

• The focus on plastic and municipal waste only is shortsighted. Without integrating industrial waste, Africa risks missing out on massive economic and environmental gains. Policymakers must stop treating industries as an afterthought and make them central to circular economy strategies.

• Industrial waste recycling remains costly because disposal is the cheaper option. Tax breaks, levies on virgin materials and financial incentives can reverse this.

• Treating industrial waste as a resource, not a liability, requires a mindset shift. Governments and businesses must move beyond compliance and see circularity as a competitive advantage—lower costs, new revenue streams and a stronger, more resilient industrial sector.