A Circular Prescription: The Untapped Potential of Ireland's MedTech Sector
- enyaoconnellhussey
- Jun 6
- 5 min read
On May 29th, at Ireland’s National Manufacturing & Supply Chain Conference, IMR and CIRCULÉIRE presented the findings of our latest sectoral guide, ‘Unpacking the Circular Innovation Opportunities for Ireland’s MedTech Sector’. The key message is clear: while Ireland is a global leader in MedTech, our reliance on a linear, single-use model presents a critical risk—and a significant opportunity. This article unpacks the core findings of that guide, exploring the environmental cost of the current model and the clear, actionable pathways towards a more resilient, profitable, and circular future.
Ireland’s MedTech Sector: A Global Powerhouse
Ireland’s MedTech sector is a big player on the global stage. As one of the top five global MedTech hubs, we export to over 100 countries and are the third-largest exporter of medical devices in Europe.
· 80% of the world’s stents and 50% of the world’s ventilators are manufactured here.
· We are the largest global exporter of contact lenses.
· 14 of the top 15 global MedTech companies have operations in Ireland.
· The sector employs over 50,000 people and its exports are worth €14.9 billion annually, representing 8% of all national exports.
And of course, the profound benefits of these technologies to human health and wellbeing cannot be measured in economic terms alone.
The Hidden Environmental Cost
However, this success comes at an increasing environmental cost. If global healthcare were a country, it would be the world’s fifth-largest CO₂ emitter, surpassing the aviation and shipping sectors (MedTech Europe, 2024).
The MedTech industry is a major contributor. According to the Boston Consulting Group (2024), MedTech products contribute about one-third of healthcare’s carbon emissions and most of its waste. This is the result of a linear, single-use-heavy model that consumes vast amounts of energy and finite materials, only to generate significant waste and emissions at a product's end-of-life.
The Challenge of Single-Use by Default
The MedTech sector is unique in its reliance on single-use devices, a practice driven by crucial patient safety concerns regarding infection and cross-contamination. This trend accelerated during the COVID-19 pandemic, increasing the sector's dependence on virgin plastics and other materials.
The waste is significant. Single-use devices constitute up to 90% of medical device waste (Health and EY, 2024). The HSE’s Green Healthcare programme found that at least one-third of waste disposed of as "healthcare risk waste" is misclassified, costing the country €1.3 million annually. A further €500,000 per year is lost by discarding recyclable materials into general waste.
The Global Consequences of a Linear Model
This reliance on single-use has consequences that extend far beyond clinic waste bins. The continuous extraction and processing of raw materials is a primary driver of the triple planetary crisis.
The UNEP’s 2024 Global Resources Outlook reports that this process is responsible for:
60% of climate change impacts.
90% of land-related biodiversity loss and water stress.
40% of health-related pollution impacts.
The effects are already here. The IPCC (2021) links rising CO₂ concentrations to more frequent and intense heatwaves and droughts. The WWF (2024) has recorded a 73% average decline in wildlife populations since 1970. And in Ireland, air pollution contributes to 1,700 premature deaths annually (Irish Heart Foundation, 2023), as 99% of the world’s population breathes air that exceeds WHO safety guidelines.
The Circular Economy: A Systemic Solution
Much of the sustainability focus to date has been on decarbonising our energy supply. While vital, this only addresses 55% of global emissions. The Ellen MacArthur Foundation (2021) highlights that the remaining 45% of emissions come from how we make and use products and materials.
This is where the circular economy provides the solution. By designing products and materials to be reused, repaired, and remanufactured, a circular economy decouples economic activity from the consumption of finite resources. It is the essential strategy for tackling the 45% of emissions that energy efficiency alone cannot solve.
Circularity: The New Direction of Travel
The transition to a circular economy is no longer optional. It is a core component of the EU Green Deal and is described in the EU Circular Economy Action Plan as ‘a prerequisite to achieve the EU’s 2050 climate neutrality target and to halt biodiversity loss.’
For businesses, this is becoming a hard-coded requirement. The EU’s Corporate Sustainability Reporting Directive (CSRD) includes the E5 standard for ‘Resource use & Circular Economy,’ which requires in-scope companies to report on their circularity policies, material flows, and financial risks and opportunities. Investors are increasingly using this data to assess a company’s long-term resilience. (Note: The scope of the CSRD is currently being debated under an Omnibus Simplification Package).
Key Barriers to Circularity in MedTech
Our research identified six key challenges the MedTech sector must overcome:
A Culture of Single-Use: Overcoming a culture where single-use is the default, driven by legitimate patient safety concerns but hampered by a limited awareness of circular benefits.
Navigating Regulatory Compliance: Managing stringent and sometimes overlapping regulations across healthcare, environmental protection, and safety standards.
Complex Global Supply Chains: Tracking materials responsibly and developing reverse logistics for material recovery across globalised supply chains.
Economic and Financial Hurdles: Securing the significant upfront investment required for circular product design, infrastructure, and costly re-certification processes.
Technological & Material Limitations: Addressing technical challenges in meeting stringent biocompatibility and sterility requirements with recycled or bio-based materials.
Restrictive 'Waste' Classification: Overcoming broad hazardous waste classifications that prevent the recovery of high-value materials that could be safely recovered post-sterilisation.
Recommendations for a Circular MedTech Sector
Our guide provides a detailed roadmap for the sector. The key strategic recommendations are:
Adopt Circular Design from the Start: Embed eco-design principles early in product development to optimise for reuse, repair, and sustainable materials.
Advocate for Supportive Policy: Collaborate to create clear, harmonised standards and embed circular criteria within public and private procurement.
Explore Financial Incentives: Leverage available grants and funding from bodies like Enterprise Ireland, IDA Ireland, and Horizon Europe to de-risk innovation.
Foster Circular Leadership: Appoint Circular Champions and set measurable KPIs to embed circularity into corporate strategy and culture.
Deepen Collaboration: Strengthen partnerships across the value chain, academia, and government to share knowledge and accelerate adoption.
Invest in Circular Skills: Work with universities and training bodies to equip the next generation of designers and engineers with circular economy expertise.
Implement and Scale Circular Business Models: Pilot innovative models like Product-as-a-Service (PaaS) to retain material value and create new revenue streams.
Establish Robust Metrics: Implement systems to measure material flows, track progress against KPIs, and report transparently under frameworks like the CSRD.
The Time to Act is Now
The Irish MedTech sector is at a crossroads. Continuing with a linear, resource-intensive model is a path of increasing cost, risk, and environmental impact. The alternative—a circular economy—offers a pathway to enhanced resilience, innovation, and long-term value creation. The transition requires bold leadership, strategic investment, and deep collaboration, but the tools and strategies are available today.
To explore these findings in greater detail and begin charting your organisation's circular journey, download the full report here.
Comments