Ester and Loop Industries to build India’s first textile recycling plant
The advancement is expected to significantly strengthen the textile sector’s circular economy and reduce environmental degradation.
In a strategic effort to tackle the growing problem of textile waste in India, Ester Industries has partnered with Canadian firm Loop Industries to establish a 50:50 joint venture. The collaboration will lead to the development of the world’s first textile-to-textile recycling facility in India, aimed at promoting sustainable fashion and responsible waste management by converting discarded fabrics into high-quality, reusable materials.
India is currently the third-largest generator of textile waste globally, yet less than 1 per cent of this waste is recycled into new garments. The joint venture seeks to address this gap by utilizing Loop Industries’ proprietary chemical recycling technology. This innovative process can convert all forms of polyester waste into virgin-grade PET resin, which can be used repeatedly without compromising quality. The advancement is expected to significantly strengthen the textile sector’s circular economy and reduce environmental degradation.
Loop Industries’ recycling technology is capable of processing polyester fibres and PET plastics previously considered non-recyclable. The method dramatically cuts reliance on fossil fuels—still the main raw material source for plastic manufacturing—and helps reduce carbon emissions, contributing to broader environmental and climate goals.
The initiative complements the Indian government’s sustainability drive and supports ongoing efforts in textile hubs such as Panipat, Bengaluru, and Tirupur. It positions India to become a leader in circular fashion and recycling technologies.
The facility will operate with a zero-discharge system to ensure local water and soil remain uncontaminated, adhering to stringent environmental regulations. With this development, Ester and Loop aim to set a benchmark for eco-friendly industrial practices while reinforcing India’s role in global sustainability. The project is seen as a critical step in transforming India’s fashion and textile industries toward a more sustainable and circular future.
