Re Sustainability, Aarti Circularity to Invest ₹100 Cr in Plastic Recycling Facility.

KKR-backed Re Sustainability and Recycling has partnered with Aarti Circularity, a subsidiary of Aarti Industries, to establish a ₹100 crore plastic recycling facility in Hyderabad. Re Sustainability will hold a 51% stake in the joint venture, while Aarti Industries will own the remaining share. The plant is expected to be operational within 15-18 months and aims to achieve a resource recovery capacity of 500 tonnes per day by 2030.

The facility will use chemical processing to segregate, extract, and recycle materials from various waste streams, including plastics, to produce advanced circular materials that can serve as raw materials, fuel, or recycled polymer feedstock.

The rising demand for recycled polymers, driven by global regulations requiring plastic manufacturers to incorporate recycled materials, has encouraged investments in large-scale recycling. The joint venture also plans to establish similar recycling plants in Maharashtra and Gujarat, aligning with local municipal initiatives focused on waste segregation.

Masood Mallick, Managing Director & CEO of Re Sustainability, stated that the joint venture is targeting a turnover of ₹5,000 crore within the next five years, citing the increasing use of plastics and the growing market for recycled polymers. The company estimates that 200 tonnes of municipal waste will be required to extract 100 tonnes of advanced circular materials.

Re Sustainability currently manages 9 million tonnes of waste annually and recycles 9 lakh tonnes of plastic waste across its facilities in Delhi, Lucknow, Hyderabad, Chennai, and Chhattisgarh.

HBL