In a step toward achieving its circular economy goals, the government of India has notified the final guidelines mandating 40% recycled content in food-grade packaging, effective 1 April 2026, the Association of PET Recyclers Bharat said.
The move days after the Food Safety and Standards Authority of India (FSSAI) granted authorization to 17 recycled PET manufacturing plants, unlocking a capacity of 3 lakh tons for the country’s circular packaging economy.
According to Goutham Jain, director general of APR Bharat, the move marks a milestone in the country’s commitment to sustainable resource management, especially at a time when global supply disruptions and geopolitical uncertainties are impacting the availability and pricing of virgin PET, making import dependence costly and unreliable.
The Ministry of environment, forest and climate change (MoEFCC), in its latest guidelines, mandates the use of 40% recycled content in food-grade PET packaging for 2026–27 from 1 April.
In its draft notification issued on 3 June 2025, MoEFCC allows brands and producers to carry forward shortfalls in meeting the 30% r-PET target for food-contact applications in 2025-26 over the next three years.
So, starting 1 April 2026, brands and producers are required to use 40% recycled content in packaging. They are allowed to carry forward unfulfilled targets from FY 2025–26 (30% mandate) for up to three consecutive years, with at least one-third of the carry-forward target to be achieved each year.
“We welcome the government’s progressive step, which reinforces confidence in the vision of a circular economy. The move is expected to ease supply chain disruptions caused by geopolitical uncertainties affecting both the availability and pricing of virgin PET. With current authorized capacities, India is well positioned to meet up to 50% of total PET requirements for bottling applications through recycled material,” Jain said.
The mandate is expected to accelerate the adoption of recycled PET (rPET) across the food and beverage sector, creating robust demand for high-quality recycled materials while strengthening the domestic recycling ecosystem, he said.
“By closing the loop on plastic use, the policy will play a pivotal role in reducing plastic waste leakage into the environment and minimizing dependence on virgin plastics,” he said.
The Plastic Waste Management Rules, 2016 (as amended), mandate the use of 30% recycled content in rigid plastic packaging from 2025-26, with a gradual annual increase of 10% until reaching 60% in 2028-29 and beyond.
In line with this mandate, 15-18 food-grade rPET recycling facilities are believed to have been established across the country, with a total capacity of approximately three lakh metric tons and an estimated investment of ₹9,000-10,000 crore.
These companies are said to have adopted advanced technology and set up facilities in compliance with standards approved by the European Food Safety Authority (EFSA) and the US Food and Drug Administration (FDA).
