Loop Industries Expands Operations with New Facility in India

Loop Industries has signed an agreement to acquire 93 acres of land in Gujarat, India, for an Infinite Loop™ manufacturing facility, enhancing its operational capacity and market position in sustainable recycling technologies. The project aims to strengthen Loop Industries' position in the recycling industry, which focuses on converting waste plastics into high-purity PET resin. The company is committed to reducing plastic waste and promoting circular economy solutions.

Loop Industries, a leading recycler of polyester and PET waste, has signed an agreement to acquire 93 acres of land in Gujarat, India, for the development of an Infinite Loop™ manufacturing facility. The acquisition, which is part of the company's strategic expansion into the Indian market, aims to enhance its operational capacity and solidify its position in the sustainable recycling technologies sector.

The 93-acre site, located in Gujarat's Petroleum, Chemicals and Petrochemicals Investment Region, offers ample space for an initial 70,000 metric ton capacity facility. This facility will produce low-carbon recycled dimethyl terephthalate (rDMT) and recycled mono-ethylene glycol (rMEG), materials that are crucial in the production of high-purity PET resin. The site's strategic location near Surat, India's synthetic textile capital, ensures a ready supply of polyester textile waste feedstock, a key ingredient in Loop's recycling process.

The facility is designed with sustainability in mind, powered by 80 percent clean, renewable electricity and biofuel. This green energy mix is expected to reduce emissions from the production of PET resin by up to 80 percent compared to traditional, petroleum-based methods. The Infinite Loop™ technology used by Loop Industries involves a methanolysis process that breaks down waste fibers at lower temperatures, unlocking their core building blocks to create virgin-quality recycled materials.

The land acquisition is a significant step for Loop Industries, which has seen growing demand for its sustainable materials in recent years. The company's latest innovation, Twist, a circular polyester resin made entirely from textile waste, exemplifies its commitment to reducing plastic waste and promoting circular economy solutions. Twist generates less greenhouse gas emissions compared to virgin PET production and offers complete traceability.

The expansion in Gujarat is part of a broader strategic partnership between Loop Industries and Indian specialty polymers manufacturer Ester Industries. Last year, the two companies formed a 50-50 joint venture, India JV, to pursue the acquisition of the Gujarat site and expand production of low-carbon recycled materials. Ester Industries provides Loop with expertise in sourcing PET and polyester waste feedstocks in the local market.

The new facility is expected to be completed by the end of 2025, thanks to an expedited permitting process facilitated by the site's location in a Petroleum, Chemicals and Petrochemicals Investment Region. The project's success will not only strengthen Loop Industries' market position but also contribute to the broader goal of promoting a circular economy by reducing plastic waste and enhancing recycling capabilities.

References:
[1] https://finance.yahoo.com/news/loop-acquires-india-recycled-fiber-143846048.html
[2] https://www.globenewswire.com/news-release/2025/08/18/3135106/0/en/Circular-Economy-in-Packaging-Market-Driving-Sustainable-Growth-to-2034-Towards-Packaging.html