This chapter explores the role of eco-innovation and circular economy practices in promoting sustainable development in Jammu & Kashmir (J&K). The region, known for its diverse natural resources and unique socio-economic challenges, faces significant environmental issues such as resource depletion, waste management, and energy insecurity. The circular economy offers a comprehensive framework to address these challenges by emphasizing resource efficiency, waste reduction, and the regeneration of natural systems. Through eco-innovation, J&K has the potential to transform key sectors such as waste management, renewable energy, agriculture, and eco-tourism to create new economic opportunities while preserving the environment. The chapter highlights several successful case studies of eco-innovation in J&K, such as waste-to-energy projects, solar energy initiatives, and sustainable agriculture practices, demonstrating their potential to enhance economic resilience, reduce environmental degradation, and improve public health. The adoption of eco-innovation will not only address the region’s immediate environmental concerns but also foster long-term economic growth, improve public health, and empower local communities.