India's r-PET industry under strain despite 40% recycling mandate

India's recycled PET (r-PET) industry is operating well below capacity, even as a government mandate requires food-grade PET packaging to contain 40% recycled content in the 2026-27 fiscal year. According to Goutham Jain, Director General of APR Bharat (Association of PET Recyclers), 20-25% of the country's r-PET production capacity is currently idle due to insufficient demand from packaging brands and users.

India's r-PET industry under strain despite 40% recycling mandate
India’s r-PET recycling industry has sufficient capacity to meet the 40% recycled content mandate – but demand from packaging brands remains critically low. (Source: AI/Claude Sonnet)

India's 17 FSSAI-approved food-contact r-PET plants have a combined capacity of around 439,000 tonnes – sufficient to meet both the current 40% mandate and a carry-forward obligation of up to 10% from the previous fiscal year. Capacity is projected to reach 1.226 million tonnes by March 2027, positioning the sector for the planned increase to a 60% recycled content requirement in 2028–29.

APR Bharat warns that continued non-compliance by brand owners risks undermining India's circular economy targets and its international commitments on plastic pollution. The association is calling on packaging users to adhere to regulatory timelines and work with recyclers to build a more resilient domestic supply chain.

Quelle: APR Bharat

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