Plastics are fundamental to everyday life. However, with increasing plastic production and use, and poor end-of-life management, they present significant environmental and economic risks. For example, the visual impact of plastic waste poses a reputational risk, particularly for consumer-facing brands. Increasing regulatory risk also means companies need to be prepared to respond to the growing legal plastic-related requirements.
Finding solutions to these issues through new technologies, innovations and investments can bring opportunities for investors.
In 2018, the PRI established the Plastic Investor Working Group to guide and develop the PRI’s work on plastic. The working group consists of 29 global investors representing US$5.9 trillion in assets. It will focus on developing resources to help investors build knowledge and understanding on plastics from a global and holistic perspective, and how they fit in with the broader circular economy concept in 2019.
Whilst plastic is fundamental to everyday life, plastic waste poses significant reputational risks, particularly for the food, beverage and retail sectors.