Circular economy: The missing link in Africa’s corporate sustainability strategies

WHEN corporate leaders gather around sustainability tables, the focus often rests on compliance, reporting frameworks, carbon audits, and ESG disclosures.

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These are important components of a responsible business, but increasingly, they are no longer sufficient.

There is a strategic gap in how we think about sustainability, particularly across South Africa and the broader continent. It is a gap I call “the Circular Blind Spot’, and it is high time we address it. The Circular Economy (CE) is not a new concept, but it remains underutilised by African corporates. At its core, CE is about intentionally designing out waste, extending the life of resources, and regenerating natural systems. It shifts us away from the traditional linear model of take -> make -> dispose, and toward a regenerative one of reduce -> reuse -> recycle -> reinvent, amongst many other Rs.

Globally, CE is increasingly seen as a growth strategy, not just a sustainability buzzword. It aligns environmental responsibility with innovation, efficiency, and long-term resilience. Yet, across many boardrooms on the continent, it is still misunderstood, if considered at all.

As a result, we are leaving value off the table: economic value, environmental value, and social value. For South African companies, integrating circularity into core business operations presents a high-impact, underexploited opportunity.

Corporates across sectors are already dealing with rising input costs, resource volatility, tightening regulations, consumer pressure, and reputational risk. Embedding circular economy principles can address these challenges while unlocking competitive advantages. Circularity is not about waste management alone. It is a design philosophy and a business model lens.

In manufacturing, it means designing for disassembly, modularity, and repair.