Plastic products have become an intricate part of our daily lives. The plastic waste collection runs into tons and still, we don’t have adequate mechanisms to recycle all the plastic waste that has been generated. From toys to films, wrapping materials, bags, clothing, household products etc. – plastic is used in almost anything and everything. Thus, a plastic waste recycler plant seems to be an attractive opportunity for entrepreneurs. But how to set up plastic waste recycler plant in India?
Basic Requirements for Setting up Plastic Waste Recycler Plant
Following are some of the basic requirements for setting up plastic waste recycler plant:
- Recycler Plant: This is the primary equipment for starting your plastic waste recycling business. You need to invest in a plastic recycler plant depending on your budget. The recycler plant should be placed in a separate place. The function of the plastic waste recycler plant depends upon the type of plant you install. This can include shredding, granulation, washing, cleaning, extrusion, melting etc.
- Plastic Waste Supply: You need a regular supply of plastic waste for recycling. It won’t be a difficult task considering that we already have landfills full of plastic. You can tie up with producers, importers and brand owners having EPR obligations in order to ensure a regular supply of plastic waste.
- Space for Setting Up: You need to decide on the location to start plastic recycling business. To be precise, you will need space to install your plastic recycler plant, store plastic waste, store the recycled product etc. The extent of space required will directly depend upon the scale at which you wish to start your business.
- Manpower: You need manpower to run your business. This includes both skilled employees, technical assistants and a manual labour force to run your unit.
- The Market for Final Product: What is the end use of recycled plastic? Are you manufacturing a product from recycled plastic? If yes, then you need to determine the market for your recycled product.
Statutory Requirements for Plastic Waste Recycler Plant
For starting plastic waste recycling business, you need to first complete with the business incorporation and registration requirements. What follows is the annual compliance as per the applicable laws. Let’s take a quick look at how to proceed with this stage:
- Business Incorporation: You need to incorporate your business entity before you start plastic recycling business. You can incorporate your business in the form of a proprietorship, partnership firm, limited liability partnership firm or company. You should consult professionals to understand the pros and cons of the above incorporation formats and decide accordingly.
- Statutory Registrations: After you incorporate your business, you need to obtain all the statutory registrations. This can include GST registration, EPR registrations, IEC (in case of import-export transactions) etc. Not obtaining necessary regulatory approvals can invite unnecessary legal actions.
- Licensing and Permissions: You need to obtain the necessary licenses and permission for starting plastic recycling business. These include authorisation from State Pollution Control Board, factory license (in case you engage in manufacturing), business license etc.
- Statutory Compliances: Once you are done with all the registrations and licenses, you can begin plastic recycling business. Periodically, you need to adhere to the statutory compliances under various laws applicable to you. These can include income tax compliance, GST compliance, EPR compliance etc.
Why Plastic Waste Recycling Business?
While plastic has become a major cause of concern, it also represents an attractive opportunity in terms of the plastic waste recycling business. Here’s why you should start this business:
- Environmental Impact: Plastic waste is a significant global environmental issue. By recycling plastic waste, you can help reduce the amount of plastic that ends up in landfills or polluting ecosystems like oceans and rivers. Recycling plastic helps in conserving energy and resources, reduces greenhouse gas emissions and mitigates the harmful effects of plastic pollution on wildlife and ecosystems.
- Business Opportunity: Recycling is a growing industry with increasing demand for recycled plastic materials. By setting up plastic waste management plant in India, you tap into a market with potential for growth and profitability. As public awareness of environmental issues rises, businesses and consumers are actively seeking sustainable alternatives and recycled products.
- Cost Savings: Recycling plastic waste can be a cost-effective alternative to manufacturing products from virgin materials. By collecting and processing plastic waste, you can obtain a valuable resource at a lower cost compared to new raw materials.
- Revenue Streams: Recycling plastic waste opens up various revenue streams. You can generate income by collecting plastic waste from individuals, businesses or municipalities, either through contracts or partnerships. Additionally, you can sell the processed recycled plastic to manufacturers, who can use it as a raw material for producing new products. By diversifying revenue sources, you can build a sustainable business model.
- Job Creation: Starting plastic waste recycling business contributes to job creation. Recycling operations require a range of roles. This includes collection personnel, sorting and processing staff, quality control inspectors, equipment operators and administrative positions. This boosts employment generation. It can contribute to local economic development and support the livelihoods of individuals in your community.
- Corporate Social Responsibility (CSR): Many companies and organisations prioritise sustainability and environmental responsibility as part of their CSR initiatives. By offering plastic waste recycling services, you can attract partnerships and collaborations with businesses that align with your goals. This can enhance your reputation and open doors to strategic alliances, grants and funding opportunities.
In a Nutshell
Setting up plastic recycler plant for plastic waste presents a great opportunity to build a sustainable and profitable business. You don’t need crores of investment to begin with. With a good business idea and a sustainable plan, you can set up a small scale plastic recycling plant and grow it eventually. You can also raise external funding from investors or lending institutions to grow your business. In case you need any assistance in starting up plastic waste recycling business, feel free to contact the ASC Group.