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Clean
tech firm Loop Industries has entered a joint venture with Ester Industries to
build and operate an Infinite Loop India manufacturing facility for the
production of recycled dimethyl terephthalate (rDMT) and recycled mono-ethylene
glycol (rMEG).
Ester
Industries is said to be one of India’s leading manufacturers of polyester
films and specialty polymers and the two are building on an existing working
relationship where Ester has produced Loop PET for Loop's global brand
customers over the last four years.
The India
venture is said to leverage the complementary skillset of each partner by
combining Loop’s innovative technology and well-established global customer
base with Ester's nearly 40 years of specialised polymer production,
operational proficiency, and local expertise, including sourcing of PET plastic
and polyester fibre waste feed stocks.
The
Infinite Loop India facility is expected to produce 70,000 tonnes of rDMT and
23,000 tonnes of rMEG annually and Ester will toll convert the rDMT and rMEG
into various grades of specialty polymers. The planned facility in India can lower
carbon emissions by up to 70 per cent compared to virgin DMT and MEG
manufactured from fossil fuels, offering chemical companies a simple drop-in
supplement and circular alternative that helps them achieve their
sustainability goals.
The rDMT
and rMEG product offerings manufactured at the Infinite Loop India facility
represent a strategic product expansion in a low-cost manufacturing environment
which complements Loop's existing PET plastic and polyester fibre manufacturing
business and will fuel growth by addressing the large and growing demand in the
market. This expansion enables the Infinite Loop technology to reach new
markets and cater to a broader range of customers across multiple industries
including the electronics, automotive, textile, cosmetics and packaging
industries.
Feedstock
sourcing for the facility, in which there is an abundant supply from textile
waste in India, is well advanced and the partners have engaged an external firm
to source and secure the land for the facility.
Arvind Singhania , Ester Industries Ltd., Chairman
& CEO commented, “This partnership reinforces our dedication to advancing
sustainable solutions in the polymer industry and by leveraging Loop's
technology alongside our decades of polymer production experience, we will
contribute to reducing the carbon footprint of our products, meeting the
evolving needs of our customers."
Daniel Solomita , Loop, Founder & CEO added, “Our partnership with Ester reflects a strategic alignment built on our shared
values of sustainability and innovation and combines both companies’ areas of
expertise. The speciality chemicals market offers a unique opportunity to
expand the reach of our Infinite Loop technology beyond PET and Polyester fibre
and provides our customers with a sustainability-linked advantage in the
speciality chemicals market. Customer demands for rDMT, rMEG and speciality
polymers produced using our technology is robust due to very limited viable
options available in the marketplace today.”
The construction
is expected to be completed by the end of 2026 with commercial operations
commencing in early 2027.
(Source: Global Data)
The contract is valued at approximately Rs 36 billion, with the trains likely to be produced in Bengaluru.
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INDUSTRIAL PRODUCTS FINDER (IPF) is India’s only industrial product portal. Referred to as the ‘Bible’ of the manufacturing sector in India,
INDUSTRIAL PRODUCTS FINDER (IPF) is India’s only industrial product portal. Referred to as the ‘Bible’ of the manufacturing sector in India,
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