Bangkok-based Indorama Ventures Public Co. Ltd., through Indian subsidiaries, has formed a joint venture with Varun Beverages Ltd. of India—PepsiCo’s second largest bottling company globally outside the United States—to establish what Indorama calls “several greenfield state-of-the-art PET recycling facilities in India.”
States Indorama, “This strategic alliance marks a substantial move toward meeting the increasing demand for recycled content throughout India, representing the companies’ collective dedication to sustainability.”
Indorama, a global producer and recycler of plastics, says its India-based subsidiaries IVL Dhunseri Petrochem Industries Ltd. and Dhunseri Ventures Ltd. are directly involved in the JV arrangement.
The JV already has started construction of two PET recycling facilities, planned for completion next year, with the potential for more, according to Indorama.
One facility is in Kathua in the Indian territory of Jammu and Kashmir in northern India while the other is in Khurdha in the state of Odisha in eastern India. The JV has as its goal is to reach 100,000 metric tons of recycled PET (rPET) annual capacity of” across all the facilities when combined,” says Indorama.
“We at IVL Dhunseri are delighted to collaborate with Varun Beverages in the establishment of these mechanical recycling facilities in India,” says Yash Lohia, chairman of the Environmental, Social and Governance (ESG) Council of Indorama Ventures.
“As the world’s largest recycler of PET, this partnership underscores our steadfast commitment to sustainability and our support for the region’s escalating demand for rPET content,” adds Lohia. “Anticipated to substantially diminish plastic waste, these new PET recycling facilities will convert postconsumer PET bottles into valuable resources.”
Comments Varun Jaipuria, executive vice-chair of Varun Beverages Ltd., “These endeavors are aligned with our pledge to the environment and reflect our ambition to nurture a greener future. Our collaboration with Indorama Ventures represents a strategic foray for Varun Beverages into the recycling market. We believe this joint venture will yield environmental dividends and generate substantial value for our stakeholders. As India's recycling landscape undergoes a paradigm shift, we take pride in spearheading this transformation alongside Indorama Ventures.”
The JV partners say the investments align with “the escalating demand for rPET content in India, driven by both regulatory mandates and a collective effort toward a circular economy for PET.”
State the two companies, “This move aims to effectively cater to the needs of India’s beverage brand owners, many of whom have established ambitious sustainability goals in line with regulatory directions.”
The partnership involving three sizable companies also “bodes well for bolstering the region's recycling infrastructure,” states Indorama.
Indorama describes itself as the world's largest producer of recycled PET resins used in food and beverage packaging, having built a global footprint since 2011. In 2023, Indorama says it crossed the 100 billion PET bottles recycled threshold and it says it is “progressing toward its target of recycling 750,000 tons or 50 billion bottles annually by 2025.”
Varun Beverages produces and distributes a range of carbonated and non-carbonated beverages in India sold under trademarks owned by PepsiCo, including Pepsi, Pepsi Black, Mountain Dew, Sting, Seven-Up, Mirinda, Seven-Up Nimbooz Masala Soda, Evervess, Slice, Tropicana Juices, Gatorade and Aquafina.
Courtesy : recyclingtoday.com
