Ester Industries and Loop Industries Join Forces for Major Sustainability Project in Gujarat

Ester Industries, a homegrown entity, and Canada-based Loop Industries have announced an ambitious collaboration. The companies will invest Rs 1,600 crore to establish a state-of-the-art joint venture plant in Gujarat. This facility is set to deliver chemically recycled polyester solutions to international markets.

The joint venture, named Ester Loop Infinite Technologies (ELITe), has secured a 90-acre land parcel at Dahej. Both companies hold equal shares in the venture, with Rs 500 crore in joint equity and the remainder funded through bank loans. According to Arvind Singhania, Chairman of Ester Industries Ltd, the acquisition will be completed by 2025 with a commissioning target set for the end of 2027.

The plant is designed to produce 70,000 tonnes of rDMT, 23,000 tonnes of rMEG, and 70,000 tonnes of rPET resin annually, which have applications in textiles, automotive, and FMCG industries. There is also an option to expand the facility's capacity by an additional 100,000 tonnes of rPET resin. An additional agreement with Italy's Taro Plast S.p.A for DMT supply further highlights the project's global reach.