Indian beverage industry weighs legal action over PET bottle recycling mandate

INDIA – The Indian beverage industry is exploring legal options against the government’s decision to enforce a mandate requiring PET bottles to contain 30 perecnt recycled food-grade rigid plastic starting April 1.

According to a report by Economic Times, industry leaders argue that the sudden implementation of the rule, coupled with inadequate recycling infrastructure, could lead to supply shortages and increased costs. 

A senior executive at a leading beverage company indicated that businesses might seek legal recourse or an anticipatory stay if the deadline is not extended.

The directive, issued by the Ministry of Environment, Forest & Climate Change, applies to category-1 packaging, covering manufacturers of soft drinks, bottled water, and juices that rely on PET bottles. 

Currently, PET bottles account for approximately 70 percent of beverage packaging in India, being more cost-effective than cans and more transport-friendly than glass bottles. 

However, executives warn that the industry lacks the necessary recycling capacity to meet the new requirements.

Bisleri International CEO Angelo George highlighted the impracticality of enforcing the 30 percent recycled plastic mandate at this stage. 

He proposed a phased approach, beginning with a 10-15 percent requirement before gradually increasing as Food Safety and Standards Authority of India (FSSAI)-approved rPET production expands. 

George also noted that the Bureau of Indian Standards (BIS) technical guidelines for rPET remain in draft form, making compliance even more challenging.

Executives have warned of several consequences if the mandate is enforced as planned. These include a potential shortage of PET bottles ahead of the peak summer season, material scarcity, and an estimated 30 percent cost increase, part of which would likely be passed on to consumers. 

Smaller companies may also resort to uncertified recyclers, raising concerns over product quality and safety.

Despite repeated appeals from the industry, a source familiar with the matter stated that the government is unlikely to extend the deadline, emphasizing that manufacturers have had over two years to prepare. 

The regulation also mandates an annual 10 percent increase in recycled content, reaching 60 percent by the fiscal year 2028–29.

With demand surging due to an early summer, industry leaders warn that companies may need to import recycled materials, further driving up costs. 

They have urged the government to reconsider the timeline, citing the European Union’s phased approach, which targets full compliance by 2030.

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