An assessment of circular economy interventions in the peach canning industry

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This research identifies and assesses the added value of Circular Economy (CE) to the industrialized production of canned peaches in Greece through the valorisation of the peach kernel, as current supply chain (SC) configurations often overlook it. To this end, this study maps the SC, records manufacturing processing inputs and outputs, and reviews relevant CE interventions that can be applied. The identified interventions are then assessed at an economic, environmental and social level via analyzing economic indicators, conducting a Life Cycle Assessment, and providing a critical discussion on the possible social impacts. Specifically, four scenarios are compared for the case of a canning facility with an annual processing capacity of 10,000 tons of peaches, including: (i) no valorisation to of the peach kernel, (ii) utilization of the peach kernel to generate energy from combustion, (iii) use of the peach kernel to extract oil, and (iv) peach kernel processing for producing both energy and peach oil. The results indicate that all identified CE interventions are advantageous, with the combination of biomass energy and peach oil production being the preferable scenario resulting in a 6.22% increase of the Gross Profit Margin (due to lower energy cost and added revenue from the peach oil) and 16.58% reduction of CO2 emissions (due to the reduced use of crude oil). Notably, peach oil production can be a viable investment for industries that do not have the capital to invest in a biomass plant. Regarding the social aspects, this reconfiguration could benefit farmers by supporting their income under the assumption that the derived profits are distributed fairly. This research contributes to the extant body of circular SC operations literature by assessing an emerging value chain through reconfiguring an established manufacturing network.