Koinpack Hero - Large

Indonesian social enterprises: pioneering circularity

IKEA Social Entrepreneurship, Instellar and IKEA Indonesia are proud to announce that our first Indonesia accelerator has started. Caring for people and communities is a shared mission by the ten social enterprises that have onboarded our programme, and many have a focus on circularity as well. Today, Earth Day 2022, we share how our Indonesia accelerator invests in a healthy and sustainable planet.


Our new Indonesia accelerator programme supports ten of Indonesia’s most innovative social entrepreneurs in circularity, sustainable agriculture and reusable materials.

For two years, they will receive mentoring and advice from IKEA co-workers, the Instellar team and other industry experts. The social entrepreneurs also get access to networks and funding. All this will enable them to increase their positive impact on people and the planet, creating better daily lives for workers, customers and local producers from Indonesia’s most vulnerable communities.

Investing in our planet

It’s no coincidence that we have chosen Earth Day to present our new accelerator to the public. The Earth Day 2022 theme is Invest In Our Planet. A green future is a prosperous future, not just for businesses, but also for the people that purchase eco-friendly and socially responsible products and services.


IKEA is committed to becoming circular and climate positive by 2030. The aim is to only use renewable or recycled materials for IKEA products and to stop producing waste that damages the environment. That’s not an easy job and we cannot do this alone. This is why at IKEA Social Entrepreneurship we welcome the opportunity to support and learn from social entrepreneurs who are implementing eco-friendly solutions for a circular economy.

Start of a wonderful journey


If they scale and can become part of new supply chains, then their solutions can not only have a positive impact on planet, replacing non-recyclable raw materials, but also on the people they support
Denny Risyad, project leader, New Business Supply at IKEA Purchasing & Logistic Southeast Asia

By working with these local changemakers for a sustainable future, IKEA can take away valuable insights. At the same time, we will share our broad business knowledge to mentor and coach them so they can achieve their full potential.


I’m sure this two-year accelerator is the start of a wonderful journey. It will inspire other social entrepreneurs in Indonesia and the world, showing them that they can also be leading companies in recycling and circularity
Denny Risyad, project leader, New Business Supply at IKEA Purchasing & Logistic Southeast Asia

 

Making sustainable living affordable

Indonesia faces huge environmental challenges. It is one of the world’s top waste producers and almost all of it ends up as non-recyclable garbage in landfills and the oceans that surround the country’s 17,500 beautiful islands. As an island nation, Indonesia is especially vulnerable to climate change and rising sea levels.

Several of the supported social entrepreneurs address this waste crisis at the source. Koinpack, for example. This start-up provides refillable and reusable packaging for soap, shampoo, detergents and other daily needs products.

 

We want to transform the habits of Indonesian people so they stop buying products in non-recyclable plastic packages. Buyers receive a reward for returning their reusable containers. This makes sustainable living affordable for low-income consumers
Binang Ekananda Risyad, CEO, Koinpack

Binang and his team are happy that the Indonesia accelerator is recognizing their work: “For us, participating in this programme is a great way to further validate and scale the solution we offer.”

Koinpack - content
Koinpack contributes to solving Indonesia’s single-use sachet crisis with a reuse-and-refill packaging system.

Create an income from waste

The selected social entrepreneurs show that working for a healthy environment also benefits people. Ika Juliana is the founder and CEO of Greenie. Her company offers sustainable materials for crafts and furniture made from non-timber forest products and agricultural waste. Ika explains:

 

We work hand in hand with local communities: Areca palm farmers, artisans and waste collectors. We empower them in innovative design so they can manufacture new materials that replace wooden furniture

Greenie - content
By reusing leaf sheaths to make materials for furniture Greenie reduces problems such as pollution and health problems among rural communities. 

The Areca palm is widely cultivated in Indonesia, but the palm leaf sheath ends up as waste that is burned by the farmers. This causes pollution and health problems. It’s also a potential source of revenue lost.


 

Through this accelerator programme, we can increase our positive impact on the environment. And by scaling up our capacity to recycle Areca leaves we’ll be able to empower more farmers, many of them women, to create an income from agricultural waste
Ika Juliana. CEO of Greenie


Need to work together

Investing in our planet for a green future means finding new ways of doing things on many different levels: as businesses, consumers, suppliers and local communities.

 

To transform into a circular economy, we need to work together. In this programme, Instellar, IKEA Social Entrepreneurship, IKEA Indonesia and our ten selected social enterprises have the chance to do just that
Romy Cahyadi, CEO of Instellar, our partner in Indonesia

During the programme launch event on Earth Day, the entrepreneurs present their business models to IKEA co-workers, the media, and a wide audience of businesses and others interested in strategic solutions for circular and inclusive growth. Romy adds;



We are keen to support our entrepreneurs while they promote people’s wellbeing and environmental sustainability. They are one of the keys to creating a better Indonesia

And not just a better Indonesia. We are looking forward to sharing the learnings of these innovative changemakers and contributing to the movement towards a zero-waste and zero-emissions future all over the world.

Meet the social enterprises

Have a look at the profiles of the ten social entrepreneurs and find out about their innovative solutions to tackle Indonesia’s most pressing social and environmental challenges. Our partner Instellar has put together the following inspiring video where the social entrepreneurs tell us about their sustainable business solutions in their own words:

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