

Oman is ready to embrace the economic and environmental opportunities that come with waste segregation and circular economy practices. The shift toward circularity is not just about sorting waste into coloured bins — it’s about rethinking how we design, produce, consume, and dispose materials across the entire economic cycle, from resource extraction and processing to production and end-of-life management.
A useful example of circularity in Oman is the growing effort to capture and reuse associated gas produced during oil extraction. Previously flared — and thus wasted — this gas is now being redirected to productive use. This not only reduces emissions but also captures economic value that was once literally going up in smoke. It’s just one example of many untapped opportunities Oman can harness along the value chain.
At its core, the circular economy promotes reducing the use of raw materials and minimising waste at every stage of economic cycle. It encourages us to keep materials in use for as long as possible, extract maximum value from them, and then regenerate them at the end of their service life. This stands in stark contrast to today’s dominant linear model of “take-make-use-dispose,” which sees the global economy consuming about 60% more resources than the Earth can regenerate each year — the equivalent of using 1.6 Earths annually. If current trends continue, we could be using the equivalent of 3 to 4 Earths by 2050.
The potential benefits of transitioning to a circular economy are enormous. Globally, this shift could unlock $4.5 trillion in economic value by 2030. The EU Circular Economy Action Plan is expected to generate between EUR 0.7–1.8 trillion annually and contribute an additional 7% to GDP by 2030, rising to 12% by 2050. Similarly, China’s Circular Economy Development Plan is projected to contribute USD 1 trillion per year by 2030, adding 14% to its GDP. These figures are intriguing our curiosity about the potential economic opportunity Oman can tap into should it shift from a linear to a circular economy.
Embracing other countries’ experiences with circular economy — such as Ireland, the Netherlands, Chile, China, Japan, and many others — circular economy offers not only environmental imperatives but also fresh ground for innovation, entrepreneurship, job creation, and supply chain resilience. For Oman, these added values fit squarely in the context of Vision 2040, which calls for a knowledge-based, diversified, competitive, and sustainable economy.
Circularity fosters innovation — from sustainable product design and advanced materials science to digital platforms that support reuse and smarter waste management systems. It promotes systems thinking and research-based solutions, nurturing a culture of learning and adaptation. One local example is Omani scientists turning oil from date kernels into biodiesel — an innovation with potential applications in other sectors.
The emergence of new industries associated with circular economy such as remanufacturing, repair, refurbishment, and bio-based materials will expand Oman’s economic base beyond hydrocarbons. This shift also opens up meaningful opportunities for small and medium-sized enterprises (SMEs) and youth entrepreneurship. From designing eco-friendly products to launching digital platforms connecting suppliers, young Omanis can lead this transformation. Wakud, which converts used cooking oil into biodiesel, is one of the local examples of how local innovation can support circular business models.
For businesses, adopting circular practices often translates to greater efficiency, reduced input costs, stronger brand loyalty, and resilience to volatile supply chains. As global markets place increasing value on sustainability (ESG), Omani firms that lead in circularity will be better positioned to attract international investment and compete in export markets.
Ultimately, a circular economy is key to long-term sustainability — it reduces greenhouse gas emissions, conserves natural ecosystems, and builds resilience against global supply chain disruptions. It offers Oman a path that shapes Omani citizens’ relationship with the environment and hence does not compromise future generations’ ability to meet their own needs.
Yes, Oman needs blue-green-yellow-grey bins. But more importantly, Oman needs a comprehensive, cross-sectoral circular economy strategy — one that turns today’s material extraction, use and waste into tomorrow’s wealth and ensures a sustainable future.
Dr Aisha al Sarihi
The writer is an expert at the Centre for Strategic Energy and Resources.
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