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Circular food systems entail that the food is produced regeneratively and, where appropriate, locally. Food and packaging waste are designed out entirely, while healthy, low-impact diets are promoted and easy to access. 

[Circle Economy](https://www.circle-economy.com/) is a not-for-profit organisation working to accelerate the circular transition. Through the *Circularity Gap Reporting Initiative*, our mission is to deliver an annual global Circularity Metric that measures the state of the world economy and identifies key levers to transition to global circularity. With nature as our guide, we work alongside cross-sector stakeholders from academia, businesses, NGOs and governments to provide a powerful combination of practical and scalable interventions that transform circular opportunities into realities. 

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Circular Food

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Limes and lemons - Photo by Jon Tyson on Unsplash

Business case

Producing agricultural products and processing them into food and beverageproducts for consumption

Agri/Food

Providing goods on the Internet, through mail order, or television, or providing goods in stores, including apparel, electronics, furniture, food and drug, etc.

Retail

Processing and producing food and beverages for consumption

Food and Beverage

Use digital, online platforms and technologies that provide insights to track and optimise resource use, strengthen connections between supply chain actors, and enable the implementation of circular models



Incorporate digital technology

Food losses and waste

Industries

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The principles of a circular economy concern designing out waste, regenerating ecosystems and keeping items in use. Decoupling the economy from material flows—improving the rate of resource productivity faster than the economic growth rate—is also a consistent guide. By evolving with the growing number of applications of circular economy principles, and consolidating these strategies across thematic areas, Circle Economy’s Key Elements Framework (KE) renders the elements of the circular economy salient and serves as a basis to derive contextual strategies and interventions. 


The Framework consists of:
- Core Elements: Activities directly handling product or material flows; and uniquely,
- Enabling Elements: those that remove obstacles for core actors.


Key elements of the circular economy

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Circle Economy's framework of strategies and activities that define the circular economy

In a circular economy:

* Food is produced regeneratively and, where possible, locally; 
* Biomass is optimally used—from agricultural by-products to manure, rainwater or used water; 
* Food losses and waste and packaging waste are designed out entirely; 
* Healthy, planetary diets are promoted and easier to access; and 
* Environmental and economic benefits are balanced with benefits to people and animals.

This definition builds on those of the [Ellen MacArthur Foundation](https://ellenmacarthurfoundation.org/cities-and-circular-economy-for-food), [Wageningen University](https://www.wur.nl/en/Dossiers/file/Circular-agrofood-system.htm), the [Platform for Accelerating the Circular Economy](https://pacecircular.org/sites/default/files/2021-02/circular-economy-action-agenda-food_0.pdf ) (PACE), as well as Circle Economy’s own work in analysing the climate mitigation potential of [circular food interventions](http://circularity-gap.world/2021).

Explore the different themes under this definition below.

Circular food themes

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Explore different themes under the concept of 'circular food'

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Based on the work of [Bocken et al. (2016)](https://www.researchgate.net/publication/309699661_Product_design_and_business_model_strategies_for_a_circular_economy), the Four Flows Framework serves as a simple framework for managing resource flows in a circular economy by using less (Narrow), using for longer (Slow), using again (Cycle), and using clean, regenerative materials and energy (Regenerate).

These different principles of circular economy can be applied to our socioeconomic metabolism: we can design stocks like buildings, infrastructure, machinery, and vehicles to be rich resource mines for the future, and design manufactured goods and consumables to be cycled and made regenerative. Furthermore, the focus must also centre on getting more value out of fewer materials. Achieving the aims of a circular economy—minimising material use, regenerating the Earth, and preventing material losses—can be done through these four key strategies mentioned above.

Source: Circle Economy. (2023). *[The circularity gap report 2023](https://www.circularity-gap.world/2023)* (p.22). Amsterdam: Circle Economy. 

Four Flows Framework

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 May 20, 2019 – Albert Heijn is taking a new step to reduce food waste with the test of “dynamic discounting” of chicken and fish products at a store in Zandvoort in the Netherlands. Beginning today, these products will be automatically reduced in price based on their sell-by date, with a higher discount for items that need to be sold soonest.  
An algorithm developed by Albert Heijn takes into account various factors to calculate the best price to eliminate unsaleable products and thus reduce waste. These factors include location, bonus offers, weather conditions, historical sales performance and in-store stock. The products are accompanied by electronic price tags with two prices: the regular price and discount at a specific expiration date.   
Albert Heijn was advised for the test by anti-waste company Wasteless. Reducing food waste is an important theme in Albert Heijn's sustainability strategy. The brand aims to eliminate half of the waste across the food chain by 2030. For more information, numbers and examples, check out www.ah.nl/duurzaam.  
Artificial Intelligence offers countless possibilities for the retail industry. Across Ahold Delhaize and our great local brands, multiple initiatives and research projects are taking place to support the Leading Together strategy and drive growth through technology.   

Albert Heijn

Wasteless

<p>To reduce food waste at its stores, the Albert Heijn supermarket chain partned with Wasteless to implement AI-based dynamic discounting at its stores. The algorithm automatically reduces products in price based on their sell-by date, with a higher discount for items that need to be sold soonest, taking into account historical sales data, inventory levels and more. This encourages customers to buy those items at a higher risk of being thrown away.</p>