Beverage companies may seek legal relief over April 1 PET bottles mandate

The Indian beverage industry is considering legal options against the government's decision to enforce a two-year old mandate requiring the use of PET bottles with 30% recycled food-grade rigid plastic starting April 1, ET reports.

The industry argues that the lack of recycling infrastructure and the abrupt deadline could lead to supply shortages and higher costs.

A legal recourse and anticipatory stay may be taken if the deadline is not extended, a senior executive at a major beverage company said.

The Ministry of Environment, Forest & Climate Change’s directive affects category-1, or food-grade, packaging, covering manufacturers of soft drinks, bottled water, and juices that rely on PET bottles.

Currently, PET bottles account for about 70% of the beverage packaging market, being more cost-effective than cans and more transport-friendly than glass bottles. However, industry executives argue that implementing the mandate is impractical due to insufficient recycling capacity.

A former senior official at the Ministry of Food Processing Industries echoed this concern, emphasizing that India has too few certified recycling plants.

Executives have warned of several challenges if the government enforces the deadline, including PET bottle shortages ahead of the peak summer season, material scarcity, and a roughly 30% increase in costs, some of which would inevitably be passed on to consumers. Additionally, smaller companies may turn to uncertified recyclers, raising concerns over quality control.

Despite industry appeals, a source familiar with the matter stated that the government is unlikely to grant an extension, noting that manufacturers have had more than two years to comply.

The official mandate also specifies that the 30% recycled content requirement will increase by 10% annually until it reaches 60% by the fiscal year 2028–29.

A senior industry executive warned that some recycled material might have to be imported, further driving up costs at a time when demand is surging due to an early summer.

Industry players have urged the government to reconsider the timeline, citing examples from the European Union, where similar regulations have been phased in with a target of 2030.