Novatex’s new 24,000T Lahore rPET plant targets Pakistan’s 4-9% recycling gap

PAKISTAN – Pakistan-based PET producer Novatex has commissioned a bottle-to-bottle recycling plant near Lahore that can produce more than 24,000 tonnes of food-contact rPET annually, as the company seeks to support brand owners like PepsiCo and Coca-Cola in meeting their circularity targets while addressing the country’s 4-9 percent plastic recycling rate.

The new facility, installed at Novatex’s site in the Quaid-e-Azam Business Park near Lahore, uses a Starlinger recoSTAR PET 215 art system capable of producing up to 3,000 kilograms of food-contact rPET per hour. 

The plant processes post-consumer PET bottles sourced mostly from municipal kerbside collection across Pakistan, with the output used in the company’s own PET preform production or sold on local and international markets. 

Expanding Capacity and Market Context

The new plant adds to Novatex’s existing recycling infrastructure, which includes two PET recycling facilities capable of processing two billion bottles annually. 

The company’s CEO Rizwan Diwan stated that by producing bottle-grade recycled PET, Novatex aims to support partners like PepsiCo and Coca-Cola in meeting their circularity targets, adding that the produced rPET has all the necessary food-contact certifications and is being used by all major brands. 

Pakistan currently does not have a national mandatory recycled content quota for plastic packaging comparable to the EU’s PPWR, meaning brand owners are leading the path for rPET inclusion. 

The country generates approximately 3.12 million tonnes of plastic waste annually, with only 4 to 9 percent being recycled. 

The new rPET plant is expected to supply high-quality recycled material to major beverage companies, food packaging converters, and export-oriented manufacturers seeking to meet international sustainability standards.

Pakistan’s Plastic Reform and Collection Challenges

The government of Pakistan is pushing hard to eliminate single-use plastics and plastic waste, with a National Plastic Action Partnership Roadmap launched in April 2025 calling for stronger collection and recycling systems. 

However, collection remains the decisive link for the plant’s success. Pakistan’s informal waste sector, employing an estimated 200,000 to more than 333,000 workers, handles approximately 40 percent of the country’s waste. 

The International Labour Organization has highlighted that strengthening recycling systems must go hand in hand with improving the safety, inclusion and recognition of the workers who make them possible. 

IFC’s recent US$20 million investment in Novatex supports this transition by helping the company align its operations with environmental and social performance standards, contributing to Pakistan’s shift toward a circular economy in the packaging sector.

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