In May 2025, Brazil formally approved its National Circular Economy Plan (PLANEC), marking a significant milestone in the country’s sustainability agenda. The approval came through the National Circular Economy Forum, an advisory body comprising representatives from federal ministries, national agencies, public institutions, the private sector, trade unions, entrepreneurship organizations, and civil society.
PLANEC presents a concrete opportunity for business leaders to lead the transition toward a low-carbon, resilient, and innovation-driven economy. By embracing circular practices, companies can enhance their global competitiveness, align with international standards, and contribute meaningfully to Brazil’s sustainable development.
PLANEC outlines a systemic transformation of Brazil’s economic model, emphasizing the reuse, refurbishment, remanufacturing, and recycling of materials. It also promotes innovation, social inclusion, and equity. The plan is built around five strategic pillars:
Pillar 1 – Regulatory Framework: Establishes macro-objectives and measures to stimulate markets for reused and refurbished products.
Pillar 2 – Innovation and Education: Defines five macro-objectives and actions to promote research, training, and knowledge dissemination.
Pillar 3 – Waste Reduction: Introduces four strategic lines of action aimed at eliminating open dumps and strengthening take-back systems.
Pillar 4 – Financial Instruments: Proposes tax incentives and dedicated funds to support circular economy initiatives.
Pillar 5 – Intergovernmental Coordination: Focuses on enhancing selective waste collection and supporting recycling cooperatives through intergovernmental collaboration.
The plan sets forth 18 objectives and over 70 strategic actions to guide Brazil toward a circular economic model. It highlights opportunities for businesses to innovate, reduce operational costs, generate employment, and boost competitiveness through sustainable practices.
Strategic Guidelines and Objectives
The National Circular Economy Strategy (ENEC) provides a framework to guide the private sector in adopting sustainable practices, with key priorities including:
Eliminating waste and pollution
Preserving material value
Promoting environmental regeneration
Reducing reliance on natural resources
Encouraging sustainable production and consumption
Extending product life cycles
Ensuring a fair and inclusive transition
Strategic objectives include:
Setting targets, indicators, and incentive policies
Fostering innovation and capacity building
Reducing waste and improving production efficiency
Developing financial and fiscal support mechanisms
Integrating workers and strengthening value chains
The announcement precedes the World Circular Economy Forum (WCEF2025), hosted for the first time in South America from May 13 to 16 in São Paulo—further reinforcing Brazil’s leadership in global sustainability efforts.
More details, including the full text of the plan, are available on the official website of the Ministry of Development, Industry, Commerce and Services (MDIC).
Authors:
Fabricio Soler
Email: fabriciosoler@felsberg.com.br
Daniela Mota
Email: danielamota@felsberg.com.br
Rafael Locatelli Augusto
Email: rafaelaugusto@felsberg.com.br
Marina Guttierrez
Email: marinaguttierrez@felsberg.com.br