Sirsak, an Indonesia-based business to business (B2B) packaging waste management startup, has raised $600,000 in pre-seed funding to expand its flagship Packaging Recovery Program (PRP) technology and accelerate packaging waste collection and recycling across Indonesia.
The round was led by Openspace Ventures, with participation from The Radical Fund, Sirsak said in a statement on Tuesday.
The funding will support Sirsak’s development of an enhanced traceability system, research and development for low value packaging, and expansion of its recycling partner network.
The company plans to achieve 4,000 tons of waste recovery and grow to 1,000 waste collection points in the coming months.
“Indonesia’s packaging waste crisis demands innovative solutions that complement, rather than disrupt, existing value chains,
“Our PRP platform formalizes the waste ecosystem by providing financial and in-kind incentives to different stakeholders including the waste pickers while helping brands meet Extended Producer Responsibility (EPR) mandates with transparent, auditable documentation,” said Angeline Callista, Chief Executive Officer and Co-founder of Sirsak.
Founded in 2023, Sirsak addresses the critical challenge of EPR compliance in Indonesia’s fragmented waste management ecosystem.
It is noted that Indonesia generates 60+ million tons of waste annually with 30-40 percent of it being packaging waste.
The company’s tech-enabled solution provides end-to-end traceability for post-consumer packaging waste while connecting brands with waste pickers, aggregators, and recyclers.
Whilst the prevalence of waste management startups steadily grow in Indonesia, Sirsak offers a uniquely differentiated approach that leverages Indonesia’s extensive human capital resources, working with traditional waste collectors rather than competing against them.
The platform aims to distribute social security to 50,000 waste workers, and provide additional earnings to aggregators and recyclers through giving values through the previously non-valuable waste and incentivizing them for digitalization, creating a more just and sustainable circular economy model.
“Sirsak is uniquely positioned to bridge the gap between fast-moving consumer goods (FMCG) brands and Indonesia’s informal waste sector,
“Their localized approach addresses both regulatory compliance and socioeconomic inclusion, making them a key enabler for Indonesia’s transition to circular economy practices,” said Alina Truhina, Managing Partner of The Radical Fund.
It is noted that the Radical Fund emphasized the venture’s commercial and climate impact potential.
“Their model demonstrates how technology can formalize waste management at scale, delivering commercial returns while creating meaningful social impact,
“By targeting 100,000 tons of packaging waste diversion by 2030, Sirsak directly addresses Indonesia’s waste crisis while reducing carbon dioxide (CO₂) emissions,” she added.
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