Unilever, USAID, and EY join forces to tackle plastic pollution

Unilever, in collaboration with USAID and EY, proudly announces the launch of the CIRCLE Alliance, a groundbreaking $21 million public–private initiative designed to address the pressing issue of plastic pollution. This collaboration underscores the critical importance of collective action in the fight against environmental challenges.

The CIRCLE Alliance is dedicated to supporting entrepreneurs and small businesses throughout the plastics value chain, with the goal of reducing plastic use and promoting the development of circular economies. A key focus of the initiative is on women’s economic empowerment, particularly in regions where women constitute the majority of waste collectors working in the informal sector.

Packaging plays an essential role in Unilever’s operations, ensuring the safe transportation and preservation of products while also contributing to the overall consumer experience. However, the environmental impact of plastic packaging is undeniable, and it remains a significant challenge. Recognizing this, Unilever has made plastic one of the four sustainability priorities in its Growth Action Plan, with a strong commitment to reducing the use of virgin plastic and developing solutions for hard-to-recycle flexible plastic packaging materials.

Unilever has made notable progress in these areas, achieving an 18% reduction in virgin plastic use since 2019 and increasing the use of recycled plastic to 22% of its global portfolio. The company has also piloted various reuse and refill models worldwide. Unilever’s ultimate ambition is to end plastic pollution through a strategy focused on reduction, circulation, and collaboration.

The CIRCLE Alliance, co-founded by Unilever, USAID, and EY, represents a significant step toward achieving this ambition. By providing a combination of grant funding and tailored business support, the initiative will help scale both new and existing solutions for packaging circularity. This includes enhancing collection and recycling efforts as well as advancing reuse–refill models. The initiative is designed to empower small to medium-sized enterprises (SMEs) and entrepreneurs, particularly those who offer impactful, market-based solutions but currently lack the scale needed for widespread impact.

While the initial focus of the CIRCLE Alliance is on India, Indonesia, Vietnam, and the Philippines, there are plans to expand into other markets by bringing in additional organizations and funding partners.

The CIRCLE Alliance builds on the successful approaches developed by the TRANSFORM impact enterprise accelerator, led by Unilever, the UK’s Foreign, Commonwealth & Development Office, and EY. It also complements Unilever’s broader investment in systemic change through the Climate & Nature Fund, a €1 billion ($1.1 billion) impact-led investment platform aimed at transforming product life cycles and driving positive environmental outcomes.

At the launch of the CIRCLE Alliance during Capitol Hill Ocean Week in June, USAID Administrator Samantha Power emphasized the unique strengths of the partnership: “The CIRCLE Alliance leverages USAID’s experience in empowering women in plastic waste value chains, Unilever’s expertise in plastic supply chains, and EY’s professional support for business growth. Together, we are laying the foundation for a transformative model of public–private collaboration.”

Gillian Hinde, EY Global Corporate Responsibility Leader, added: “The CIRCLE Alliance is a bold response to the urgent need for collective action to enable a circular economy for plastics across the global south. By supporting impact entrepreneurs and scaling market-based solutions, we aim to address plastic pollution while generating jobs that respect waste workers’ human rights, especially those of women.”