Every year, nearly half of Rwanda’s food supply goes uneaten.Inadequate food storage and processing, spoiled harvests and household waste result in a 40% loss of the country’s total food production every year, equal to 12% of its GDP. In Kigali alone, household food waste accounts for 164 kilograms per person per year (361 pounds). In a country where 19% of households are food insecure, this is a staggering loss.Beyond exacerbating food insecurity, food loss and waste carry significant environmental and economic costs. Resources such as land, water and energy are used to produce food that is never consumed, while farmers and businesses lose potential income. These inefficiencies directly affect smallholder farmers — the backbone of Rwanda’s food system.And Rwanda isn’t alone. Post-harvest losses are a persistent challenge across Sub-Saharan Africa. Reducing food loss and waste can help ensure that growing populations don’t go hungry. One emerging solution is ‘circular food systems.’ What Are Circular Food Systems? Instead of the traditional ‘produce–use–discard’ approach, circular food systems are designed to keep resources in use for as long as possible, regenerate natural systems and minimize waste at every stage. Agricultural byproducts can be repurposed into new products. A coffee company, for example, can supply coffee pulp (the flesh removed from around the coffee bean) to a mushroom producer, where it becomes the nutrient mix on which mushrooms grow. Waste streams can also be transformed into valuable products such as compost, animal feed or fuel.Circular food systems also reduce losses before they happen. This can be through better storage, improved post-harvest handling and more efficient logistics along the supply chain.For Rwanda, transitioning to a circular food system can unlock new products and business models, create jobs and improve food security. Small businesses are at the center of this transition in Rwanda. Working with WRI’s Circular Food Systems for Rwanda (CIRF) project, they are transforming what was once considered waste into value.Kigasali Coffee Company: Turning Husks into Revenue and FertilizerKigasali Coffee Company in Kigali has been processing coffee for both local and international markets since 2016. Like most companies in coffee processing, Kigasali generates large quantities of coffee husks, the dry outer shells of the coffee beans removed during the hulling, or ‘deshelling,’ stage. Coffee husks account for approximately 12% to 15% of the total weight of coffee cherries, and Kigasali produces up to 500 metric tons of coffee husks annually. In most cases, these husks are sold cheaply to brick manufacturers, who use them as an additive in brick production. But more can be gained from the company’s waste. With support from CIRF, Kigasali’s staff began to look at its operations differently, identifying multiple points in its process where waste could be turned into value. The company started producing cooking pellets from coffee husks, producing over 5,000 kilograms of eco-friendly cooking fuel. Within two months of launching its fuel pellet initiative, it generated approximately $1,000 from selling the pellets – extra revenue from materials that previously had little value. For a small business in Rwanda, that can represent a significant additional income stream. Coffee husks being prepared for pellet making. Photo by KTG Strategy/WRI Kigasali has also started producing organic fertilizer from coffee pulp through vermicomposting (a process that uses worms to break down organic matter into fertilizer). It also produces biogas from coffee waste, which it also sells, and treats wastewater so it can be reused in coffee processing. These initiatives are aimed at enhancing soil fertility, improving coffee productivity and reducing environmental impacts along the value chain.’Waste is no longer waste, but a resource,’ said Consolee Niyigena, Kigasali’s project manager.Africa Food Supply (AFS): Extending Crops’ Shelf LifeAfrica Food Supply (AFS) produces fruits and vegetables for local markets across Rwanda. However, much of it is highly perishable and often goes to waste. Supported by CIRF, the company developed new ways to reduce post-harvest losses while creating new food products. AFS is now transforming some of its fresh crops into longer-lasting products such as pineapple juice, ginger tea, banana bread, sweet potato muffins and pancakes. By creating products with a longer shelf life, the company can reduce waste, reach new markets and buy more consistently from local farmers, helping provide them with a more reliable income.’We now use our own fresh produce to create new products,’ said Serge Ganza, the owner of AFS. ‘For example, we promote the orange-fleshed sweet potato, which we were accustomed to eating only boiled. Today, we have begun producing bakery items such as cookies and bread from it. This is true value addition.’ An Africa Food Supply employee tends to tomatoes. Photo by KTG Strategy/WRI AFS is also tackling organic waste through composting. The company mixes leftover produce such as pineapple pulp with other food waste from their restaurant and coffee shop, repurposing the waste into animal feed and organic fertilizer, which it both sells to farmers and uses to grow more fruits and vegetables. Trials are also underway to safely convert human waste into compost. From Business Practice to System ChangeThese businesses are not operating in isolation. Rather, they are part of a broader shift taking place across Rwanda.The country has been steadily building a policy ecosystem that supports circular economy approaches. The national Strategic Plan for Agriculture Transformation puts strong emphasis on promoting circular economy models and de-risking investment in the sector.And in November 2024, Rwanda’s Standards Board adopted two international circular economy standards to guide how circular practices are applied and measured. Businesses and regulators in Rwanda now have clear, globally aligned guidelines to help them adopt circular approaches. Without these standards, Rwandan businesses producing circular products could not credibly distinguish themselves in the market, certifiers had no common basis on which to assess them, and policymakers had no shared way for tracking progress. These changes signal that reducing food loss, improving soil health, and reusing resources are part of Rwanda’s core development strategy. For businesses and investors, this sends a strong message: Circular solutions are a national priority worth investing in.Barriers to Adopting Circular Food SystemsDespite progress, challenges remain.Finance remains a key constraint. Many businesses are still too small or early-stage to qualify for conventional bank loans. At the same time, adopting circular practices often requires upfront investment in equipment or process changes, which can be difficult without access to credit. Targeted financial solutions, including dedicated circular economy funds, blended finance mechanisms and loan products tailored to small businesses can help.Certification and market access also present significant barriers. For businesses like Golden Insect, which produces vermicompost, it’s been difficult to grow. Owner and director Xavio Imbabazi says that Rwanda’s fertilizer certification process is prohibitive for organic compost producers like him because the lengthy and bureaucratic standards can’t easily be met by a small-scale producer. This is holding his company back from expanding by limiting investment and market access. Xavio Imbabazi, owner of Golden Insects, inspecting compost at his farm. Photo by KTG Strategy/WRI CIRF’s multi-stakeholder platform is giving small and medium-sized businesses like Golden Insect access to policymakers to raise these obstacles and work with them toward practical solutions. For example, a coalition formed through the platform developed certification guidelines for organic fertilizers and soil amendments in 2025, designed to accommodate small producers.Sustaining progress will also require longer-term support structures. Establishing a permanent circular economy hub for agribusiness in Rwanda could be one solution, providing ongoing access to technical assistance, peer learning and market information, while also embedding circular economy concepts into vocational and higher education systems.With policy foundations already in place, the next step is translating them into increased investment and alignment, moving circular approaches from pilot initiatives to broader, system-wide adoption.Building a Circular Food System that WorksThe experience in Rwanda shows that circular food solutions are not theoretical. They are practical, profitable, and already being implemented by small businesses. With the right support — technical, financial and institutional — circular food systems could help reshape how Africa produces, processes and values food.Circular Food Systems for Rwanda (CIRF)CIRF is funded by the IKEA Foundation and led by WRI in partnership with African Circular Economy Network (ACEN), Cleaner Production and Climate Innovation Centre (CPCIC), Resonance, and African Circular Economy Alliance (ACEA). Since 2021, CIRF has been working with SMEs and the Government of Rwanda to demonstrate circular solutions that can work in real businesses.