Brazil advances policies to boost circular economy
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In Brazil, government policies and private sector initiatives are working to shift production from a linear model, using raw materials and creating waste, to a circular economy.
Over the last four years, federal policies have encouraged Brazilian industries to adopt environmentally and climatically aligned practices. The Lula government intends to approve the National Strategy for Circular Economy (PL 1.874/2022) this year, with key measures already in effect since 2024 through decree 12.082.
Julia da Cunha Cruz, Secretary of Green Economy at the Ministry of Development, Industry, Trade and Services, emphasizes the social dimension of this shift. Brazil has approximately 800,000 waste pickers involved in recycling, making the issue sensitive beyond environmental concerns. Private companies are increasingly engaged due to potential cost reductions, competitive gains, and the risk of trade barriers for products relying on non-recycled materials. Several sectors already demonstrate circular practices.
The aluminum industry uses 100% recycled material for can production, while the sugar-alcohol sector fully utilizes sugarcane bagasse and vinasse for energy. The paper and cellulose industry recycles over 60% of the paper it sells, reaching 77% for packaging, making Brazil the sixth largest recycler in this field. Experts note that while recycling is important, a circular economy also requires changes in consumption patterns, product redesign, and the reuse of materials.
A key challenge remains limited recycling infrastructure and low rates of material recovery, currently at 3% in Brazil, compared to around 35% in developed economies.
