Plastics, e-waste, and battery Recycling are expected to collectively reach a market size worth ~$20 billion by 2030, according to a report by Avendus Capital titled Circular Economy: Recycling Waste To Wealth.

The report also discusses the concept of "circular economy," which refers to a system that is restorative and regenerative by design. It involves eradicating the ‘end-of-life’ of any material and redesigning the consumption and manufacturing system to create a regenerative ecosystem.

“We believe that the recycling sector is at an inflection point owing to the rising focus on sustainability and the regulatory push. Businesses are realising that being sustainable is the right thing to do and it also improves their perceived value among all stakeholders, with customers increasingly choosing brands based on their sustainability credentials and investors doubling down on their ESG mandates," Koushik Bhattacharyya, Managing Director and Head, Industrials Investment Banking, Avendus Capital said in a press release.

Plastic recycling market

While the data on Plastic Waste in India is not well documented, an estimated 13 million tonnes of plastic waste is generated in the country, out of which 60% is recycled. The remaining plastic waste ends up in landfills or is burned.

The size of the Indian plastic waste recycling industry was estimated to be $2.3 billion in FY23. The industry is expected to grow at a CAGR (compound annual growth rate) of 24% and reach $10.2 billion by FY30.

E-waste recycling market

The total e-waste generated globally is estimated at ~59 million MT in the year 2022, and only about ~18%

of this was recycled. It is estimated that this e-waste contains approximately $60 billion worth of raw

materials such as gold, silver, copper, platinum, and other recoverable materials.

It is estimated that India generated ~5.8 mn MT of e-waste in FY23, of which

The market size of e-waste recycling is expected to grow by 23% to $7.5 billion by 2030.

Battery recycling market

Batteries, the most critical component of EVs, constitute about 30-50% of the cost of

an EV, making it the ‘focal point’ of the EV industry.

The report states that India is going to see a big energy transformation because of the move towards a low-carbon economy. Li-ion batteries are at the centre of this plan because of their use in vehicles to reduce pollution. At the same time, Battery Recycling becomes even more critical in India as there is a lack of key raw materials.

The battery recycling and reuse market is expected to grow exponentially to touch ~$2 billion by FY30.

“India’s plastic waste recycling industry is expected to grow at a CAGR of 24% and reach $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," added Ashish Ahuja, Vice President, Industrials Investment Banking, Avendus Capital.

"With the introduction of e-waste management rules and advanced recycling methods improving the recoverability of precious elements, e-waste recycling is most likely to grow at a 23% CAGR to touch $7.5 billion in the same period. The largest boost, however, will be to the battery recycling and reuse market, which is expected to grow exponentially to touch ~$2 billion by FY30, growing by more than 20X by the end of this decade. This will be driven by rising EV penetration and the need to conserve and recover rare materials like Lithium, Nickel and Cobalt," Ahuja added.