Homegrown Ester Industries and Canada-based Loop Industries will invest Rs 1,600 crore to set up the first phase of JV plant in Gujarat to deliver chemically recycled polyester solutions for international markets.

The JV entity, Ester Loop Infinite Technologies (ELITe), has acquired a 90-acre land parcel at Dahej, Ester Industries Ltd Chairman Arvind Singhania said in a media interaction.

Both entities hold 50:50 share in the joint venture (JV). Rs 500 crore will be infused jointly and the remaining will come through bank loans, he said.

The company looks to complete the acquisition of the land by end of 2025, and commission the phase one by the end of 2027.

"These developments validate the strength of our vision to create a world-class hub for circular polyester in India. Simultaneously, the alliance with Hyosung TNC extends the reach of our recycled polyester into global apparel and textile markets, reinforcing our role in enabling large brands to transition toward circular supply chains," the chairman said.

Ester Industries Limited is a leading manufacturer of polyester chips, polyester films and specialty polymers.

With advanced R&D centres and manufacturing facilities across India, Ester delivers material solutions to a wide spectrum of industries, including FMCG packaging, textiles, electronics, automotive, and adhesives. ABI MJH TRB