India’s Transition to a Circular Economy Towards Fulfilling Agenda 2030: A Critical Review

Ananthi Rajayya (), Rajiv Nair and Viswanathan Pozhamkandath Karthiayani
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Ananthi Rajayya: Amrita School of Business, Amrita Vishwa Vidyapeetham, Kollam 690525, Kerala, India
Rajiv Nair: Amrita School of Business, Amrita Vishwa Vidyapeetham, Kollam 690525, Kerala, India
Viswanathan Pozhamkandath Karthiayani: Amrita School of Business, Amrita Vishwa Vidyapeetham, Kollam 690525, Kerala, India

Sustainability, 2025, vol. 17, issue 6, 1-25

Abstract: Globally, economies are experiencing a paradigm shift from linear production practices (make–use–dispose) towards circular economy (CE) pathways as critical development strategies to achieve Agenda 2030. In the context of the progressive shift to CEs, we critically review extant literature to comprehend the trends and constraints concerning the adoption of CE practices, with a primary focus on India. Our review reveals the growing body of literature encompassing a range of CE practices prevalent in multiple domains globally. We also discuss the emergent trends and patterns in adopting CE across sectors in India. Our study also confirms that implementing the transition to CE with ad hoc policies or as a tactical response to external or internal stimuli is unsustainable; instead, it necessitates organisational agility and strategic collaboration among stakeholders. We also identify consumer perceptions and economic feasibility as the most significant criteria determining the institutionalisation of CE. Further, responding to calls for an investigation into the CE in small and medium enterprises in India, we present a conceptual framework that can enable a non-disruptive transition towards CE. This framework discusses the interlinkages of the above objectives and underscores the need for collaborative efforts from all stakeholders towards a sustainable CE. When practices align with these objectives, firms can successfully manage low environmental impacts while enhancing their economic relevance and social responsibility. The paper also adds to the ongoing investigations into the intersection of the Circular Economy (CE) and Sustainable Development Goals (SDGs) by outlining both direct connections (SDG 12) and indirect relationships (SDGs 2, 6, 8, and 13) among the three key pillars of CE: society, environment, and economy.

Keywords: circular economy; SDG; strategic enablers; ReSOLVE; CE policies (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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