The Quaker United Nations Office (QUNO), in collaboration with Eunomia Research & Consulting Ltd., is pleased to announce the release of the Summary Report for Phase 2 of the initiative titled Plastic Money: Turning Off the Subsidies Tap. This report is being released ahead of the Fifth Session of the Intergovernmental Negotiating Committee (INC-5) on Plastic Pollution, which begins on 25 November 2024, in Busan, Republic of Korea. This release marks another milestone in our ongoing efforts to provide greater clarity on the nature and extent of subsidies in the production of primary plastic polymers (PPPs) and seeks to serve as a resource for negotiators and stakeholders as they deliberate measures to develop an international legally binding instrument to address plastic pollution.

Important figures from Phase 2:

• Global subsidies for PPP production: The study estimates total subsidies to polymer production at USD 45 billion in 2024, projected to rise to USD 78 billion by 2050 under a baseline scenario. These subsidies disproportionately benefit major producers, with Saudi Arabia alone accounting for USD 38 billion in 2024.
• Production volumes: In 2024, global production of commodity polymers is expected to reach 306 million tonnes, rising to 590 million tonnes by 2050 under a business-as-usual scenario. China is currently the largest producer of PPPs, accounting for 103 million tonnes in 2024, followed by the United States with 40 million tonnes.
• Impact of removing subsidies: A full removal of PPP subsidies would result in significant reductions in production volumes, particularly in high-subsidy economies like Saudi Arabia (a projected reduction of 2.4 million tonnes in 2024). Despite these reductions, the impact on consumer product prices would remain minimal, with an average price increase of less than 1% for most plastic-containing products.
• Broader context of subsidies: When combined with other environmentally harmful subsidies (EHS), such as those for fossil fuels, agriculture, and transport, the PPP subsidies contribute to a staggering global total of USD 2.7 trillion annually in EHS, highlighting the scale of economic distortions driving environmental degradation.

The full Phase 2 report, containing comprehensive data and analyses, will be released during the week of November 25th to coincide with INC-5. It will include detailed modelling of subsidy removal scenarios along with a complete methodology.

Supported by Dalberg Catalyst and The Rockefeller Foundation, this initiative continues to be a vital resource for policymakers, civil society organizations, and intergovernmental bodies seeking to advance systemic solutions to the global plastic crisis.

We invite all stakeholders to access the summary report and join the dialogue during INC-5 to explore actionable pathways toward a robust and ambitious global treaty. Stay tuned for more updates and announcements during INC-5.

QUNO’s Sustainable and Just Economic Systems programme, in partnership with Eunomia Research & Consulting Ltd., has published the Phase 1 Report of their project titled Plastic Money: Turning Off the Subsidies Tap. This report represents a crucial step in uncovering the extensive subsidies received by the primary plastics polymer (PPP) production industry, a sector that plays a pivotal role in global plastic pollution.

The report focuses on the subsidies provided to the most energy-intensive segment of the plastics production chain, from the processing of raw materials to the production of basic resins and their extrusion into plastic pellets. The study reveals that these subsidies are substantial, amounting to approximately USD 30 billion annually across the top 15 polymer-producing countries.

This work is critical as it fills significant data gaps and provides a foundation for informed policy discussions at the Intergovernmental Negotiating Committee (INC) on Plastic Pollution, which is tasked with developing a legally binding global treaty to end plastic pollution. The findings highlight the urgent need for better transparency and tracking of subsidies at both national and international levels.

Supported by Dalberg Catalyst through grant funding from The Rockefeller Foundation, this collaborative effort between QUNO and Eunomia serves as a vital resource for stakeholders aiming to understand and reform the economic drivers of plastic production. The Phase 1 Report is just the beginning, with future phases planned to refine these findings, project future subsidy trends, and model the potential impacts of subsidy reforms on plastic production, trade, and environmental outcomes.

Discaimer: The findings and conclusions contained within are those of the authors and do not necessarily reflect positions or policies of The Rockefeller Foundation or Dalberg Catalyst.

Against the backdrop of Asia’s struggle with burgeoning plastic waste, the Quaker United Nations Office (QUNO) has published a new report that delves into the complex challenges and potential strategies for addressing this problem in the region.

QUNO’s report, ‘Trade and Plastics — Fostering Sustainable Development in South East Asia’, was issued by its Sustainable and Just Economic Systems programme this month (November).

It focuses on plastic pollution in Lao PDR, Myanmar, and Vietnam and highlights the pressing need for systemic changes. 

The report highlights the growing environmental threats and economic losses due to mismanaged waste. It also exposes the intricate interplay between trade policies and sustainable waste management practices.

This critical study, conducted by experts from the University of Cambridge, transcends traditional discussions on plastic waste management. 

It underscores the urgent need to align strategies with the waste management hierarchy—emphasising reduction, reuse, and recycling—to combat the escalating crisis of plastic pollution and its socio-economic ramifications.

This study is an essential call to action, urging the implementation of comprehensive policies that integrate waste hierarchy principles. 

It challenges the current linear economic model, stressing the importance of reducing plastic production, minimising single-use plastics, and promoting sustainable alternatives. 

Its authors navigate the complexities of transitioning towards more sustainable practices, particularly emphasising the pivotal role of trade as a lever for ecological and social reform.

The report enriches broader understanding of the multifaceted nature of plastic pollution and fortifies QUNO’s advocacy for environmentally sound and equitable economic systems. It is a testament to the power of informed, cohesive action in the face of a global environmental challenge.

At its second session, the Intergovernmental Negotiating Committee requested the Secretariat to invite written submissions on (a) Elements not discussed at INC-2, such as principles and scope of the instrument (using Template A), and (b) Any potential areas for inter-sessional work compiled by the cofacilitators of the two contact groups, to inform the work of INC-3 (using  Template B).

In response to this call, the Quaker United Nations Office made two contributions on behalf of the Friends World Committee for Consultation (FWCC) to inform the work of the INC-3. Our first submission, which focuses on reuse, refill, and the midstream segment of the plastic lifecycle, outlines a vision for an international treaty that considers unique requirements for diverse sectors, notably focusing on circular approaches like reuse and refill methods. It emphasizes economically viable solutions that benefit everyone in the supply chain, especially tailored to the challenges of developing nations. The proposal suggests utilizing funds from mechanisms like the Carbon Border Adjustment Mechanism for plastics, underlining the potential these have in advancing sustainability. The interconnectedness of environmental responsibility and social fairness is highlighted, emphasizing tailored strategies for small businesses. The document also underscores the importance of consistent global standards and collaboration, pointing to the roles of entities like the World Trade Organization. Lastly, the submission combines insights from international trade law and environmental concerns to present forward-looking strategies, emphasizing fairness and inclusivity.

On 16 February 2023, Mr. Andres Naranjo, the Programme Associate for QUNO's Sustainable and Just Economic Systems (SJES), presented at the pre-plenary session of the WTO Dialogue on Plastic Pollution, offering insights on waste regulations and plastic pollution management based on the findings of QUNO's recently-released report, "Package-less and Reuse Systems Through Policy Intervention: rethinking packaging in international trade."

The presentation emphasized the need to shift from recycling-centric approaches to prioritizing higher-level strategies, including avoidance and reuse/refill systems. The report's analysis of thirty countries demonstrated that recycling and reuse measures were the least favored, while labeling emerged as the most significant measure in international trade. During the presentation, Mr. Naranjo advocated for policy incentives to accelerate the adoption of reuse systems in developing countries, as this could create local jobs and alleviate pressure on waste management systems. Furthermore, Mr. Naranjo stressed the importance of establishing clear definitions and working standards to facilitate international trade and assess the sustainability merits of various reuse practices and operations.

You can refer to the attached PowerPoint slides for Mr. Naranjo's presentation. 

With quantities of waste steadily rising worldwide, packaging material and packaging waste have emerged as critical areas for action at various levels. Governments and businesses must consider political risks and ways to anticipate, understand and mitigate them in international trade. 

Over the past decade, governments have continually prioritised waste prevention, based on the Circular Economy waste hierarchy framework: avoidance (i.e. package-less), reuse, recycling, recovery, and disposal. However, waste advocates, regulators, and policymakers have yet to prioritise the top tiers of this circular economy hierarchy (e.g., avoidance promoted by package-less products and implementation of reuse systems).

As interest in reducing plastic waste grows, it becomes increasingly important to ensure that trade policies minimise packaging waste and improve reuse strategies across regions. To spark innovative thinking and valuable discussions on this topic, QUNO has is delighted to present its latest report, which contains a focused analysis of the state of play of the packaging-free retail sector in Latin America, examining policy barriers (in the role of services) affecting the wider uptake of the packaging-free retail models in the region. This work seeks to inform members and complement the work being carried out at the World Trade Organization's Informal Dialogue on Plastics Pollution and Environmentally Sustainable Plastics Trade, and the United Nations Environment Program's Global Plastic Treaty Negotiations.

Attached you will be able to find both our comprehensive report, and a policy brief. 

QUNO contributed to the substantive finalization of a comprehensive report carried out by the World Wide Fund for Nature (WWF South Africa), which makes a case for mainstreaming the informal waste sector towards an inclusive circular economy across African cities. The focus was on the work reclaimers and waste pickers do in cities of Ghana, Kenya, Nigeria, South Africa, and Uganda.

The research supports our mutual aims and outcomes in seeking to establish policy advocacy and action by assessing the significance of an inclusive circular economy across material value chains in the African context. QUNO also contributed to the design and translation (into French) of a factsheet stemming from the full report. The three documents are accessible through links and attachments below. 

QUNO's September 2022 issue of the Geneva Reporter newsletter is available below. This issue includes a welcome letter from our Director Nozizwe Madlala-Routledge and reporting on the International Migration Review Forum from the Human Rights & Refugees team. It also includes updates from our Peace and Disarmament (P&D), Human Impacts of Climate Change (HICC) and Sustainable and Just Economic Systems (SJES) programmes.

Our newest QUNO Review provides a brief introduction to QUNO and our ways of working, as well as an overview of our areas of work. Learn more about our past year of work, as well as our work ahead in the coming year.