ELITe signs INR 1,600-crore MoU with Gujarat for chemical polyester recycling plant

Ester Industries joint venture, ELITe (Ester Loop Infinite Technologies), has signed a memorandum of understanding (MoU) with the Government of Gujarat to establish what it claims will be India’s first chemical polyester recycling plant.

The greenfield facility, proposed in the PCPIR Dahej region of Bharuch, Gujarat, will involve an investment of INR 1,600-crore and is expected to create around 500 jobs. Commercial operations are targeted to begin by 2028.

The MoU was signed at Auro University during the Vibrant Gujarat regional conferences under the Chemicals, Petrochemicals and GIDC Large Projects category. The plant will deploy Infinite Loop technology to recycle post-consumer and post-industrial polyester waste into virgin-quality PET materials for textile and packaging applications.

The facility has been designed to produce approximately 70,000-tonnes of recycled dimethyl terephthalate (rDMT), 23,000-tonnes of recycled monoethylene glycol (rMEG), and 70,000-tonnes of recycled PET resin annually. The project also includes provisions for future capacity expansion.

According to the company, the project is expected to reduce greenhouse gas emissions by around 81%, resulting in annual savings of up to 418,600 tonnes of CO₂ compared to conventional virgin PET production.

Separately, Nike Inc. has been confirmed as the facility’s anchor customer under a multi-year offtake agreement for Twist, a material designed to help apparel and textile companies meet sustainability targets through traceable circular polyester.

Front-end engineering design for the project has been completed by Tata Consulting Engineers, while the detailed engineering contract has been awarded to Toyo Engineering India.

The Government of Gujarat, through the Gujarat Industrial Development Corporation (GIDC), has committed to facilitating permissions, registrations, approvals and clearances for the project.

Ayush Vardhan Singhania said, “This MoU with the Government of Gujarat is a defining milestone for ELITe and for India’s place in the global circular economy. With land secured, engineering underway, and Nike confirmed as our anchor customer, the Bharuch facility stands on an exceptionally strong foundation.”

Vaibhav Jha added, “India is one of the world’s largest producers and consumers of polyester, yet almost none of its post-consumer textile and packaging waste is recycled. The Bharuch plant will directly address that gap by converting waste into a high-value circular material that global brands are actively seeking.”