A new report from the Ellen MacArthur Foundation has found there is “broad support” among Micro-, Small-, and Medium-sized Enterprises (MSMEs) for a legally binding plastics treaty.
Of the 132 MSMEs consulted through the study, most were in favour of strong global rules to mitigate the plastic pollution crisis.
63% of the businesses consulted viewed the Global Plastics Treaty positively and 37% were neutral, the report found.
Countries are currently negotiating an “international legally binding instrument to end plastic pollution” as agreed in Resolution 5/14 of the UN Environmental Assembly in March 2022. The fourth session of negotiations concluded in Ottawa, Canada earlier this year.
The Ellen MacArthur Foundation said that the Treaty should include specific policy measures that support MSMEs manage the transition, including differentiated implementation timelines, knowledge and technology transfer, vocational training, and flexible financial instruments.
The Foundation said it spoke to MSMEs across the global plastics landscape including waste pickers in Ghana, plastics converters in Peru, producers of alternative materials in the Netherlands, and reuse delivery system providers in Singapore.
MSMEs represent 90% of businesses across the planet and are essential to the successful implementation of the treaty.
The report found that the Treaty would create new market opportunities in some sectors, such as the operation of product delivery models, production of alternative materials, and waste management.
In the immediate and short term, however, the report said it is important to recognise that MSMEs in certain parts of the value chain may also experience challenges such as contracting markets, temporary price increases, and employment shifts as a result of new legislation emerging from the plastics treaty.
If supporting measures for MSMEs are implemented effectively, these challenges can be managed via a careful implementation of the rules and are ultimately outweighed in the long-term by the benefits on offer, the report said.
The Foundation said to ensure that MSMEs harness the expected benefits over time, the plastics treaty should establish specific policy measures that support them in managing the transition.
Commenting on the report, Marta Longhurst, Global Treaty Manager at the Ellen MacArthur Foundation, said: “A legally binding Treaty is a vital tool in this fight and would drive change at the pace and scale needed.
“MSMEs represent 90% of businesses across the planet and are essential to the successful implementation of the Treaty. Global rules can unlock significant benefits and opportunities for MSMEs if implemented effectively and fairly.
“This study shows strong support for the global rules in the Treaty from MSMEs and highlights the crucial steps needed to support them through the process to end plastic pollution, benefiting businesses across the entire plastics value chain.”
The report explores the following seven global rules under consideration for inclusion in the plastics treaty it said particularly impact MSMEs:
- Global rule 1: Virgin plastic fees to fund solutions across the plastic lifecycle.
- Global rule 2: Bans on avoidable single-use plastics.
- Global rule 3: Reuse targets for avoidable single-use plastics.
- Global rule 4: Phasing out problematic plastics, polymer applications, and chemicals of concern.
- Global rule 5: Design rules for reuse, repair, durability, and cost-effective recycling of packaging and consumer goods.
- Global rule 6: Targets for collection and recycling rates.
- Global rule 7: Extended Producer Responsibility (EPR) systems applied across sectors.
