Coca-Cola, PepsiCo, and other beverage makers in India are facing a new government regulation set to take effect from April 1, 2025, which mandates that all PET bottles must include at least 30% recycled plastic (rPET), gradually increasing to 60% by 2028–29. While the rule is aimed at boosting sustainability and creating a circular economy, the industry is grappling with a shortage of food-grade rPET due to inadequate recycling infrastructure. At present, only around 15% of the necessary rPET is available, raising concerns over compliance and the likelihood of packaging costs rising by up to 30%, which may be passed on to consumers. With summer demand approaching and these issues unresolved, companies are exploring legal avenues such as requesting deadline extensions or anticipatory legal relief.
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Beverage Giants Struggle with New rPET Mandate Amid Supply Shortage and Legal Pushback
Coca-Cola, PepsiCo, and other beverage makers in India are facing a new government regulation set to take effect from April 1, 2025, which mandates that all PET bottles must include at least 30% recycled plastic (rPET), gradually increasing to 60% by 2028–29. While the rule is aimed at boosting sustainability and creating a circular economy, the industry is grappling with a shortage of food-grade rPET due to inadequate recycling infrastructure. At present, only around 15% of the necessary rPET is available, raising concerns over compliance and the likelihood of packaging costs rising by up to 30%, which may be passed on to consumers. With summer demand approaching and these issues unresolved, companies are exploring legal avenues such as requesting deadline extensions or anticipatory legal relief.
Disclaimer
We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.
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