Loop Industries’ India Joint Venture Secures Strategic Gujarat Site for Infinite Loop™ Recycling Facility
Loop Industries Gujarat recycling facility
Loop Industries’ India Joint Venture Secures Strategic Gujarat Site for Infinite Loop™ Manufacturing Facility
Loop Industries has announced a major step forward in its India expansion strategy after its joint venture reached an agreement to acquire a strategic industrial site in Gujarat for the development of its Infinite Loop™ manufacturing facility.
The project represents a significant milestone for the company’s mission to accelerate the global circular economy for polyester and recycled PET plastics.
Strategic Gujarat Location Supports Circular Manufacturing
The selected 93-acre site is located near Surat in Gujarat, one of India’s most important textile and industrial regions. Surat is widely recognized as the country’s synthetic textile capital, providing direct access to large volumes of polyester textile waste that can be used as feedstock for the recycling process.
The location was chosen after extensive due diligence because it offers several advantages, including:
- Access to abundant textile waste feedstock
- Strong industrial infrastructure
- Availability of renewable energy sources
- Skilled petrochemical workforce
- Efficient export logistics through a nearby deep-water seaport
The facility will also be situated inside a Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR), which is expected to accelerate permitting and regulatory approvals.
Facility Designed for Long-Term Expansion
Loop Industries confirmed that the Gujarat site is large enough to support both the initial production facility and future expansion plans.
The first phase of the project is expected to deliver annual production capacity of 70,000 metric tons. The company also plans a future expansion capable of adding another 100,000 metric tons annually once operations are fully established.
This scalable approach positions the facility to become one of the region’s major recycled PET production centers.
Reduced Project Costs Improve Financial Outlook
The land acquisition agreement also improves the project’s financial efficiency.
According to Loop Industries, the total land cost is approximately $10.5 million, representing a $5 million reduction from the amount originally included in the project’s Front-End Engineering Design (FEED) cost estimate prepared by Tata Consulting Engineers.
An initial deposit of $1.7 million has already been committed to secure the property.
Renewable Energy to Power Sustainable Production
Sustainability remains central to the Infinite Loop™ project.
Loop Industries stated that the manufacturing facility is expected to operate using approximately 80% renewable electricity combined with renewable biofuel sources. The company estimates this approach could reduce carbon emissions by up to 80% compared to traditional virgin PET produced from fossil fuels. Loop Industries Gujarat recycling facility
The company cited findings from a 2023 Life Cycle Assessment conducted by Franklin Associates, a division of ERG, comparing Loop PET production with conventional virgin PET manufacturing.
Executive Commentary on the Gujarat Expansion
Adel Essaddam, Chief Operating Officer at Loop Industries, described the land acquisition as a foundational step for the India project.
He explained that the Gujarat location delivers strong advantages in infrastructure, logistics, and feedstock availability while also providing room for future production growth once the initial facility becomes operational.
Loop Industries’ Circular Economy Vision
Loop Industries focuses on developing technologies that transform low-value and hard-to-recycle PET plastic and polyester fibers into high-quality recycled materials suitable for food-grade packaging and textile applications.
Its proprietary depolymerization technology breaks down waste plastics and polyester into core monomers that can then be purified and repolymerized into virgin-quality PET resin.
The company says its Loop™ and Twist™ branded PET materials can be recycled repeatedly without significant degradation in quality, supporting long-term circular economy goals and reducing dependence on fossil fuel-based plastics.
Why This Project Matters for India’s Recycling Industry
India’s textile and packaging sectors continue to generate significant volumes of polyester and plastic waste. Projects like the Infinite Loop™ facility could help address growing environmental pressures while creating value from discarded materials.
The Gujarat facility may also strengthen India’s role in sustainable manufacturing by combining advanced recycling technology with renewable energy infrastructure and large-scale industrial production.
As global demand for recycled PET continues to rise, the project positions Loop Industries to serve both domestic and international markets through its strategically located export infrastructure.
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