ICCE releases a paper with EEPC on strategy for MSME for embracing a Circular Economy

Mumbai, India: 8th Nov

Micro, Small, and Medium Enterprises (MSMEs) form the backbone of India’s economic structure, driving growth, innovation, and employment across the country. As India moves toward its vision of sustainable development, the role of MSMEs becomes even more critical. In the face of mounting global environmental concerns and stringent regulations, particularly from
international markets, the shift towards sustainable and circular practices is not just a compliance issue but a strategic imperative for these enterprises. This paper, published by the International Council for Circular Economy (ICCE), provides a comprehensive exploration of the essential role MSMEs play in India’s green transition. It highlights the pressing need for these industries to
embrace circular economy principles—not only as a way to minimize environmental impact but also as an opportunity to innovate, reduce operational costs, and enhance competitiveness in both domestic and global markets.

One key focus of this paper is the European Union’s Carbon Border Adjustment Mechanism (CBAM), a policy that underscores the growing demand for eco-friendly practices. The CBAM presents both challenges and opportunities for Indian MSMEs, and this paper provides thoughtful insights and strategic recommendations to help these enterprises navigate the evolving regulatory landscape while maximizing their potential for growth and sustainability. As we continue to build resilient, forward-thinking industries, we believe this paper will serve as a valuable resource for MSMEs, policymakers, and stakeholders committed to fostering a more sustainable and inclusive economy. It is a call to action for Indian MSMEs to seize the opportunity, adapt to emerging global trends, and lead the way toward a circular and sustainable future.

As the world grapples with the urgent need for sustainable development, the circular economy emerges as a critical paradigm shift. By adopting circular principles, businesses can optimize resource efficiency, reduce waste, and create innovative products and services that meet the demands of a changing market, and contribute to a more sustainable future. We believe that this paper will serve as a valuable resource for engineering MSMEs across India, inspiring them to innovate, collaborate, and adopt circular business models that drive sustainable growth and economic prosperity.