Loop Industries, Inc., a clean technology company whose mission is to accelerate a circular plastics/fiber economy by manufacturing 100% recycled polyethylene terephthalate (PET) plastic and polyester fiber, concluded an agreement with Ester Industries Ltd. (Ester), manufacturers of polyester films and specialty polymers, to form a 50/50 India joint venture (JV).
As per the press release, the purpose of the India JV is to build and operate an Infinite Loop™ India manufacturing facility, which will produce a unique product offering of lower carbon footprint recycled dimethyl terephthalate (rDMT), recycled mono-ethylene glycol (rMEG) and specialty polymers in India, using the Infinite Loop™ technology which offers significant advantages over traditional mechanical PET recycling.
The India facility will leverage the Infinite Loop™ technology and existing engineering package, which accelerates the lead-time towards groundbreaking, slated to occur by end of this year. Feedstock sourcing for the facility, in which there is abundant supply from textile waste in India, is well advanced and the partners have engaged an external firm to source and secure the land for the facility. Construction is expected to be completed by the end of 2026, with commercial operations commencing in early 2027.
Arvind Singhania, Chairman and CEO of Ester Industries Ltd. commented, “Ester and Loop have a long-standing working relationship with a deep alignment of values and shared commitment to circularity and driving sustainable change. The partnership reinforces our dedication to advancing sustainable solutions in the polymer industry and by leveraging Loop’s technology alongside our decades of polymer production experience, we will contribute to reducing the carbon footprint of our products, meeting the evolving needs of our customers”.
Loop’s Founder and CEO Daniel Solomita commented “Our partnership with Ester reflects a strategic alignment built on our shared values of sustainability and innovation and combines both companies’ areas of expertise. The specialty chemicals market offers a unique opportunity to expand the reach of our Infinite Loop technology beyond PET and Polyester fiber and provides our customers with a sustainability linked advantage in the specialty chemicals market. Customer demand for rDMT, rMEG and specialty polymers produced using our technology is robust due to very limited viable options available in the marketplace. The Infinite Loop India facility represents a great opportunity for Loop to be a part of the fastest growing economy in the world and capitalizing on operating in a low-cost manufacturing environment. We see India and this partnership with Ester as a tremendous growth opportunity for future expansion. This approach allows us to optimize returns, expand our presence in key markets, and drive sustainable growth while maximizing shareholder value”.
