Impact of Circular Bioeconomy on Industry’s Sustainable Performance: A Critical Literature Review and Future Research Directions Analysis

Abstract

The circular bioeconomy (CBE) practice concept has demonstrated its capability in improving the industry’s performance. However, the impact of CBE practice on sustainable industrial performance is less analysed due to a poor understanding of the connection between CBE practice and sustainability. This study aims to carry out a systematic literature review (SLR) to understand whether CBE practice has improved the industry’s sustainable performance. Also, this study aims to expose the industries that are less covered under the CBE practice concept. An SLR has been performed to identify peer-reviewed articles that evaluate the impact of CBE practice in industry’s sustainable performance. A total of 38 articles published between 2015 and 2021 were subjected to descriptive and content analysis to arrive at new findings, research gaps, and future research directions. The descriptive analysis revealed that most of the articles reviewed were focused on agro-based industries and developed countries. The content analysis highlights that the lack of understanding, limited technological and financial support, and a well-established reverse supply chain network restrict industries from adopting CBE practice. To improve CBE acceptance, technological assistance and a well-established supply chain network are required. This study contributes significantly to the literature by providing better insights into CBE practice. Unlike earlier studies which mainly emphasise the positive side, this study reveals the challenges faced by the industries in adopting CBE practice. Also, this study interprets the synergy between CBE practice and sustainability.