Can pharma cure its waste problem through a circular economy approach?

By April Lara

August 08, 2024

Photo of circular economy

The pharma and life sciences industry has traditionally operated on a linear model: extract, produce, consume, dispose. Given the industry’s reliance on finite resources and the environmental impact of waste generation, this existing model is not sustainable. A significant shift towards a circular economy is gaining momentum as companies recognise its benefits.

A prominent strategy of a circular economy is recycling and reprocessing with some companies already investing in advanced technologies to recover valuable materials from pharma waste. Remanufacturing medical devices is also gaining traction that enables organisations to extend product lifecycles and lower costs. Reuse and sharing initiatives are emerging as well with a focus on equipment rental, pooling, and refurbishment that optimises resource efficiency.

While still in its early stages, the industry is seeing a growing number of companies adopting circular economy practices. For one, GlaxoSmithKline (GSK) has implemented several sustainability initiatives, such as waste reduction. One of their initiatives is the implementation of closed-loop recycling programs for packaging materials that divert waste from landfills and recover valuable resources.

Sanofi is also making strides in circular economy with the development of its circular economy roadmap that aims to close the loop on its whole value chain. One of their initiatives include promoting sober and sustainable procurement that go beyond compliance matters.

AstraZeneca also shows its commitment to sustainability through its Ambition Zero Carbon strategy that aims to eradicate carbon emissions from its global operations by 2025.

The Kalundborg Symbiosis in Denmark exemplifies the circular economy in action. For over 50 years, a network of 12 companies, including Novo Nordisk and Ørsted, have collaborated to share resources like energy, water, and materials. By transforming waste products into valuable inputs, they've created a self-sustaining industrial ecosystem. This approach not only reduces environmental impact but also yields financial benefits for participating companies.

Kalundborg's success has inspired the creation of the Symbiosis Center Denmark, which aims to replicate this model across the country.

The increasing adoption of the circular economy model is one with challenges. A complex regulatory environment poses a challenge with stringent regulations governing drug development, manufacturing, and distribution. These regulations act as barriers to adopting new and innovative circular economy approaches.

The high upfront costs that come with developing new tech, infrastructure, and processes can also hinder companies from investing in this model. Another is the limited availability of recycling and reprocessing technologies engineered for pharma waste.

Quantifying the impact of circular economy practices lies in measuring specific metrics, such as reducing greenhouse gas emissions, waste generation, and water consumption. Calculating cost savings from reduced material usage, energy consumption and waste disposal will also reveal financial advantages.

The European Commission's Circular Economy Action Plan also provides a roadmap for sustainable business models. The pharmaceutical industry fully supports this initiative, recognising its alignment with our commitment to patient health and environmental responsibility. While regulatory challenges exist, we are actively working to integrate circular economy principles into our operations and contribute to a more sustainable future.

Embracing sustainability can positively impact companies within the sector as leaders in a changing world and contribute to a healthier planet for future generations.

Bookings for the Pharma Industry Awards UK are now open. Join the celebration with the cream of the UK’s Pharma, Biotech and Medtech Industries through our bookings portal: Here

 The Deadline for entries into this year’s Pharma Industry Awards Ireland is fast approaching. Download the entry guide here.