Friends, every day, millions of plastic bottles are thrown away, especially in India alone, which generates about 3.5 million tons of plastic waste every year, and the largest part of this waste is PET bottles. But would you believe me if we told you that the same bottles can be turned into a potential business that can generate regular income if managed properly? Yes friends, many smart entrepreneurs are trying to take advantage of this, so, if you recycle this waste properly, you can not only help the environment but also build a potentially profitable business over time. So, in this article, I am going to show you how a PET bottle recycling business and how the plant works, what machines you need, how much you need to invest, and how much profit you can make in the coming year.

Business Concept & Market Demand

Countries all over the world are making a concerted effort to recycle PET, Also many big brands are now opting to use more recycled plastic in their packaging, and today, major clothing brands are incorporating recycled polyester into their products. So the demand for recycled PET flakes is increasing every year. Yes, as of 2024, the value of India’s plastic recycling industry is estimated at approximately USD 4,090 million, and this sector is expected to reach USD 6,933 million by 2033. India generates a lot of plastic waste, but it is not being recycled properly, so this gap is a business opportunity for you. However, this is not a small home business, as a basic PET recycling plant requires a medium or higher investment. So the big question is – is it really worth it? Yes, because, with the increasing awareness about plastic pollution, even a small-scale PET recycling unit can generate a healthy income.

Manufacturing Process

Okay, now let’s get straight to the manufacturing process. First, the material comes from the Informal waste pickers and scrap traders. Next, sorting is very important here, you need to separate the bottles according to color, along with this, the caps and rings of the bottles need to be removed because they are made of different materials. The next step is to remove the labels. Nowadays, machines are available that automatically remove the labels from the bottles, so you can easily remove the labels. Now, these clean bottles go into the crushing machine. This machine cuts the bottles into small pieces. Now, this step is very important, after the flakes are formed, they need to be washed, so the flakes are added to water, here, these are washed with chemicals and hot water to remove the glue and dirt for high quality. Finally, these wet flakes are dried in a dryer and then packed in bags of required sizes and sold to the factories.

Space Requirement

Now the first question is, how much space is required to set up this recycling business? Friends, as we have said earlier, this is not a small home business, so you need an industrial setup with at least 2,000 to 5,000 square feet of space. If you do not have your own land, lease land on the outskirts of the city at a low cost. Setting up this plant in the middle of the city is difficult as it will cause traffic problems. Also, your plant should be close to the waste source and potential buyers, and most importantly, choose a location with access to water and electricity.

How to get the Raw material

The next step in the recycling chain is to collect used PET bottles. So, you can partner with local businesses, households and waste collectors in each part of your city to collect the bottles. Or there are some large ‘aggregators’ in each city who collect the material from small scrap dealers and make compressed bundles from it, which you can order directly from them. Yes, the prices here will be a little higher, but you will get regular deliveries. If your plant is large, you can contract directly with your municipality’s ‘Material Recovery Facility’ (MRF) centers.

Buy Machinery and Equipment

Now let’s talk about machinery, for a standard plant, you will need conveyor belt, label remover, crusher, washing tanks, dryers, weighing machine, etc. Also, its prices will vary according to its capacity and size. You can buy these machines from your nearest metros or you can search for ‘PET bottle recycling’ on online portals like IndiaMart or TradeIndia, however, visit the supplier’s factory, see the machine in operation and then finalize the deal.

Licenses & Safety

In India, running a factory without documents is risky. So, First you need to get GST registration for billing and Udayam Aadhaar (MSME) to avail the benefits of government subsidies. But the most important document for this business is the NOC from the Pollution Control Board (PCB). Since the recycling plant generally falls under the ‘orange’ category, it is mandatory to get ‘approval to set up’ and ‘approval to operate’ from the state pollution board. Also, definitely take the Fire Safety NOC and most importantly remember – you cannot discharge the water from the washing process directly into the drain, so don’t forget to install a small Effluent Treatment Plant.

Required Investment

Now let’s talk about the investment directly, friends, as we said earlier, this is not a small home business, because for a basic PET recycling plant you need to invest at least ₹20 to ₹35 lakhs budget, remember, this is just a rough estimate and it can increase further depending on the cost of the machine, raw materials and labor cost and your location. So, it is better to consult industry experts to know more, because only then will this increase your chances of running profitably and avoiding major problems in the beginning.

Where to Sell

Finally, the biggest question is, where to sell your products? Friends, it is a complete raw material for various manufacturing industries, yes, polyester fiber manufacturers are your biggest buyers, apart from this, there is a huge demand for your washed flakes in the packaging industry which manufactures packaging sheets. You don’t have to run around to find these buyers, for this you can search for ‘PET Flakes Buyer’ on portals like IndiaMart or TradeIndia and make direct calls, visit big exhibitions like PlastIndia and build a personal network with company owners, or contact plastic brokers present in the market, who will get on commission basis and deliver your entire truck load directly to these big factories without any tension.

Conclusion

So friends, this industry is not something that can be started in a small room, this business is for hard workers. This is a proper manufacturing unit that requires space, manpower and constant supply, so, if you have space, investment capacity and the ability to deal with scrap dealers, then this industry will be very beneficial for you.

Get best price at Indiamart for:

PET Bottle Recycling Machine – https://IndiaMART.in/v/Nkbw5Jmd

PET Recycling Machine – https://IndiaMART.in/v/7mDlbMXO

PROJECT REPORT for PET BOTTLE RECYCLING – https://www.kviconline.gov.in/pmegp/pmegpweb/docs/commonprojectprofile/rPetBottleRecycling.pdf

You May Also Read :

How to Start a Plastic Recycling Business – The Ultimate Guide

15 Best Recycling Business Ideas to Make You Some Extra Money

Glass Recycling Business Plan: Machines, License & ROI Guide