PepsiCo India advances recycled packaging push as sector flags circularity gaps

PepsiCo India said Pepsi Black now uses a 100% recycled bottle and that 70% of its films have shifted to polyolefin-based monomaterial laminates. At an industry roundtable, companies called for stronger EPR execution, food-grade recycled-material approvals and sorting infrastructure.

— Source publishedWed, 2 Sept, 2026, 19:04 IST·First seen Wed, 2 Sept, 2026, 19:41 IST·Source ET Small Business

What happened

PepsiCo India, Dow and sector participants called for better EPR implementation, food-grade approvals, sorting infrastructure and MSME support to meet

Key facts

  • PepsiCo India said Pepsi Black uses a 100% recycled bottle
  • PepsiCo moved 70% of its films to polyolefin-based monomaterial laminates
  • India targets 10% recycled content in flexible plastic packaging and 30% in rigid packaging
  • PET recycling rates in India are above 80%; flexible-plastic recycling is about 5%
  • Alliance to End Plastic Waste targets 100,000-200,000 tonnes of additional annual collection and recycling in each of five tier-2 and tier-3 cities
  • At least 1.5 million waste pickers operate in India
  • A world-scale recycling plant processes about 50,000 tonnes annually versus about 2 million tonnes for a petrochemical refinery

Why this matters

Packaging, recycling and waste-management partnerships could become strategic assets as brands seek reliable EPR compliance, food-grade recycled resin supply and monomaterial conversion capabilities.

What to watch

  • Indian regulatory approvals or standards expanding permitted use of food-grade recycled plastic in contact-sensitive packaging.
  • Evidence of stricter EPR audits, penalties, portal verification or mandated traceability for FMCG packaging waste.
  • Announcements of new rPET, sorting, chemical-recycling or flexible-plastic recovery capacity in India.
  • Rival commitments from Coca-Cola, Bisleri, ITC, HUL, Nestlé or major snack brands on recycled content and monomaterial packaging.
  • Price spreads and supply disruptions between virgin resin and food-grade recycled resin.
  • Consumer or regulator challenges to recycled-packaging claims where collection and actual recycling rates remain low.
  • Expand recycled-content claims from Pepsi Black to additional high-volume beverage packs where food-grade rPET supply is available.
  • Lock in multi-year sourcing partnerships with recyclers, waste-management firms and converters to secure traceable recycled resin and monomaterial-film capacity.
  • Standardize packaging designs around fewer polymer formats to reduce sorting complexity and improve recovery economics.
  • Build retailer- and consumer-facing collection initiatives in major urban markets to strengthen EPR evidence and feedstock availability.
  • Increase disclosure of recycled-content percentages, collection outcomes and third-party certification to reduce greenwashing scrutiny.