Making Virtue Out of Necessity: Managing the Citrus Waste Supply Chain for Bioeconomy Applications

The efficient use of agricultural wastes and by-products, which essentially transforms waste materials into value-added products, is considered as pivotal for an effective bioeconomy strategy for the rural development. Within this scope, citrus waste management represents a major issue for citrus processors. However, it also represents a potentially unexploited resource for rural sustainable development. This study focuses on analyzing the current management of citrus waste in South Italy, and on identifying the determinants and barriers that may affect an entrepreneur’s choice in the destination of citrus waste. This study investigates the preferences of citrus processors regarding the contract characteristics necessary to take part in a co-investment scheme. Both analyses are preliminary steps in designing an innovative and sustainable citrus by-product supply chain. Results show that the distance between the citrus processors and the citrus by-products plant is one of the main criteria for choosing alternative valorization pathways. Moreover, guaranteed capital, a short duration of the contract, and reduced risk are contract scheme characteristics that improve entrepreneurs’ willingness to co-invest in the development of a citrus waste multifunctional plant. The overall applied approach can be extended to other contexts for designing new and innovative by-product supply chains, thereby enhancing the implementation of bioeconomy strategies.