According to the Bank of Thailand, climate change is forecasted to trigger a staggering 43.6 percent decline in Thailand’s Gross Domestic Product (GDP) by 2048. This impending challenge surpasses mere economic implications, profoundly impacting the quality of life for citizens, especially in vulnerable regions like Thailand. Within this challenging landscape, the Bio-Circular-Green (BCG) model emerges as a pragmatic solution on the path to achieving net zero. This model encompasses the realms of the “bioeconomy,” focusing on renewable biological resources and their conversion into value-added products; the “circular economy,” aiming to maximize resources through reusing and recycling materials; and the “green economy,” striving for balance among economy, society, and the environment to foster sustainable development.
NAVIGATING CHALLENGES IN BUSINESS BIO-CIRCULAR-GREEN ADOPTION
In the realm of BCG, technology and society are pivotal factors in its successful adoption. Currently, technological readiness is evident, yet cautious adoption strategies are vital, emphasizing the need for a Just Transition—a balanced shift toward sustainability without leaving anyone behind. Implementing the BCG model requires a comprehensive approach, categorized into three core levels. Firstly, at the business portfolio level, integrating BCG principles encounters relatively fewer barriers due to an openness to innovation and evolving consumer preferences favoring sustainability. However, challenges intensify when extending these principles into expansive supply chains. This phase demands significant logistical and procurement adjustments, substantial investments, and systemic changes to effectively prioritize sustainability throughout the supply chain. Lastly, the most intricate stage lies at the ecosystem level, where establishing sustainability involves aligning partners with BCG models, fostering supportive government policies, and engaging academia extensively, forming the cornerstone for successful implementation.
COLLABORATION ACROSS VARIOUS SECTORS
Efficiently deploying the BCG model relies on collective participation and the benefits of sustainability initiatives. For example, Indorama Ventures has been a leader in collaborating with global partners to pilot innovative recycling methods, showing real promise. However, an ongoing challenge lies in inadequate waste collection infrastructure, hindering effective global recycling efforts. Addressing this challenge through policy changes holds substantial potential, while academia plays a crucial role in educating citizens about sustainability. When all stakeholders actively contribute, the system operates smoothly, creating job opportunities and societal benefits everyone. This joint effort is especially critical in Thailand due to its high daily consumption rates.
There is an opportunity for collective success in transitioning to a sustainable and circular business model. Addressing these challenges demands collaborative ecosystems, supportive regulations, and a structured implementation of BCG principles across sectors. Embracing the BCG model stands pivotal in steering us toward a net-zero future, mitigating climate crises, and safeguarding economies and livelihoods from climate change's impacts.
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