Beverage Giants Resist India's 2025 rPET Mandate: Why and How Industry Players Will Respond

Industry representatives argue that the timeline is impractical due to insufficient recycling infrastructure, limited rPET supply, and increased production costs—particularly ahead of the peak summer demand season—according to The Economic Times.

Background of the Mandate

The directive, issued by the Ministry of Environment, Forest and Climate Change (MoEFCC) as part of India's Plastic Waste Management (PWM) Rules, 2016, aims to promote domestic recycling and reduce reliance on virgin plastics. The regulation mandates an annual 10% increase in rPET content, reaching 60% by 2028-29.

Challenges in India's rPET Industry

For India, a major challenge is how to acquire relatively lower-cost rPET in a market where costs are high, which seems difficult to achieve on its own.

During a December 2024 meeting with the Central Pollution Control Board, industry representatives urged the government to revise the target for recycled PET (rPET) usage, proposing a 15% initial obligation with 5% annual increases. 

Currently, only five FSSAI-approved plants can produce food-grade rPET, meeting just 15% of market demand, and expanding recycling capacity is expected to take 2-3 years. India faces a significant dilemma, as the additional 85% demand cannot be met without external support. 

Beverage companies estimate that adopting rPET could increase bottling costs by nearly 30%, impacting product pricing, while smaller companies may struggle to source certified rPET, raising concerns about safety and regulatory compliance.

PET vs rPET: Key Differences

PET (polyethylene terephthalate) is a widely used plastic in beverage bottles, food containers, and textiles due to its durability, lightweight properties, and recyclability. However, PET production relies on fossil fuels, making it resource-intensive.

In contrast, rPET is produced from post-consumer PET waste through collection, cleaning, and reprocessing into resin or pellets. This process reduces plastic waste and lowers the demand for virgin plastic materials, contributing to a more circular economy.

Wankai New Materials' Approach

Wankai New Materials Co., Ltd. is dedicated to the development of green and innovative materials. As the company explores the rPET market, it faces significant challenges in acquiring relatively lower-cost rPET products in a high-cost environment. 

Currently, Wankai has developed semi-chemical recycling PET technology, continuously working towards making it accessible to the market and benefit end consumers, which remains a key focus for the company.

Conclusion

In India Limited supply, high costs, and inadequate recycling infrastructure pose major hurdles to the implementation of the 2025 rPET bottle mandate.

Most importantly, collaboration within the industry will be essential to balance environmental goals with economic feasibility, ensuring a successful transition towards sustainability in the beverage sector.

In the face of an unpredictable future, uniting all participants is crucial. As a PET resin manufacturer, we are committed to innovation to better serve our clients.