Race Eco, Ganesha Ecosphere to Launch PET Bottle Recycling Plants in India

Plastic waste management firm Race Eco Chain announced a joint venture with Ganesha Ecosphere to establish washing plants for producing PET flakes. Ganesha Ecosphere Ltd is a leading PET recycler in India. The board has given its in-principle approval for this collaboration, as stated by Race Eco Chain in a stock exchange filing. The agreement is yet to be finalised and executed.

Representative image

Joint Venture to Address Recycled PET Demand

This partnership aims to set up multiple washing lines across India to convert PET bottles into reusable flakes. The government mandates that packaging must contain 30 per cent recycled plastic by 2025-2026 and increase it to 60 per cent by 2028-2029. This joint venture, named Ganesha Recycling Chain Pvt Ltd, seeks to meet the growing demand for recycled PET (rPET) in India, driven by Environmental, Social, and Governance (ESG) mandates and regulatory requirements.

On Tuesday, Race Eco Chain Ltd and Ganesha Ecosphere Ltd announced their agreement to form a 51:49 joint venture for setting up these washing plants. The JV plans to establish several washing lines across India that will be used for producing quality PET flakes, thereby significantly reducing plastic waste and fostering a circular economy.

Economic and Environmental Benefits

This initiative not only advances environmental protection but also promotes economic growth by creating employment opportunities within the recycling industry. By collaborating with multiple brands, corporates, and recyclers, the company aims to organise the unorganised waste supply chain.

Shares of Race Eco Chain settled 1.47 per cent higher at Rs 441.80 apiece on BSE.