PET Scrap Import Banned

All Plastic Scrap now in Banned List, Reliance Hand behind Crackdown Suspected

The Ministry of Environment has quietly banned the import of PET bottles, plastic scrap and a whole host of waste items, including electronic waste, coming from overseas for recycling.

Earlier, used plastic or PET bottles scrap by recycling plants in India were allowed the import but they must rely on similar waste generated within the country. (See Order in Box for detail).

“Under the new rules, we have clearly said no to import of PET bottles in India for recycling and no import of household waste either. First what’s generated in India must be treated and recycled. Tonnes of PET bottles come to India from across the world while our own waste stays unaddressed. This has to be corrected,” said a member of the committee to the Economic Times, asking not to be identified.

Streamlining Waste Import Process

India, China and Bangladesh are among the top recyclers of the world’s waste and the environment ministry had all these years generously permitted import of PET bottles by licensed recycling units in India.

India has some 3,500 recognised recycling units for plastic waste, according to a 2014 report by the Federation of Indian Chambers of Commerce & Industry. Another 4,000 units are in the unorganised sector, the report said, adding that together these units recycled some 3.6 million tonnes of plastic waste per year. In 2014-15, India imported PET scrap worth Rs 27.37 crore, data from the Directorate General of Foreign Trade showed. It is said that Reliance has been on the job of banning PET Scrap for some time. It is a producer of PET as well as polyester fibre. Both these items face competition from PET scrap import.

The recycling industry is based on at least 70-80% imports and there is considerable demand for polyester fibre generated from recycled PET bottles.

Industry complains that it is unable to get the desired quantity of PET scrap in India at a good price.

Unlike in China, the scale of their recycling industry in India is still quite small and it needs greater investment to be able to process local waste effectively.