Avendus Capital, an investment banking franchise, released a comprehensive report titled “Circular Economy: Recycling Waste to Wealth on the occasion of World Environment Day. The report delves into the recycling industry in India. It focuses on three major segments: Plastics, E-waste, and Batteries. These sub-segments are projected to collectively reach a market size of approximately USD 20 billion by 2030.
The traditional “linear consumption” system, based on a “take-make-waste” approach, has led to resource depletion and waste generation. Avendus’ report emphasises the adoption of Circular Economy principles to mitigate resource depletion effectively. The concept of Circular Economy revolves around a restorative and regenerative system design. It aims to eliminate the “end-of-life” phase for materials.
Koushik Bhattacharyya, Managing Director and Head of Industrials Investment Banking at Avendus Capital opined that the recycling sector is at a crucial turning point due to the increasing focus on sustainability and regulatory measures. He stated that businesses are realising that being sustainable is the right thing to do. According to him, the sector will soon see a shift towards being organised and new companies will join the fray to solve bottlenecks at various legs of the value chain to enable India’s circular ecosystem.
Ashish Ahuja, Vice President of Industrials Investment Banking at Avendus Capital, stated that India’s plastic waste recycling industry is expected to grow at a CAGR of 24% and reach USD 10.2 billion by FY30. This will be driven by the rising use of recyclable plastics, exponential demand in e-commerce and quick commerce packaging and use in light-weighting of products.
E-waste recycling is likely to grow at a CAGR of 23%, reaching USD 7.5 billion in the same period. The battery recycling and reuse market is expected to touch ~USD 2 billion by FY30, growing by more than 20x by the end of this decade.