Recycling in India: Environment agency flags national policy loopholes and illegal imports

A recent report by the Environmental Investigation Agency (EIA) finds some stakeholders in India are undermining the country’s EPR framework by exploiting regulatory loopholes and following outdated practices.

Next month marks three years since India’s landmark ban on single-use plastics came into effect, targeting items such as plastic bags, cutlery, straws, food packaging, and disposable water bottles. 

The two-part EIA report titled Dirty Deal suggests India’s market-based EPR regulations for plastic packaging left space for producers, importers, and brand owners to fulfill their regulatory requirements by purchasing credits from accredited plastic recyclers instead of directly handling plastic waste.

Meanwhile, India’s informal recycling sector remains a key player, handling much of the country’s plastic waste, according to the EIA report. Yet, this sector lacks formal recognition, hindering its ability to integrate with the EPR system.

Amy Youngman, legal and policy specialist at EIA, tells Packaging Insights: “India’s informal recycling sector, comprising an estimated 1.5 to 4 million workers, is the backbone of the country’s plastic waste management system.” 

“These waste pickers and aggregators are responsible for the vast majority of plastic collected and recycled, yet they remain excluded from formal regulatory systems, lacking legal recognition, fair compensation, and basic social protection.”

Amy Youngman, legal and policy specialist at EIA.“Research from the Centre for Science and Environment and other organizations working directly with the sector makes clear: without formal inclusion and support, India’s plastic waste goals are not just at risk, they are structurally unsustainable.”

Data gaps challenge ban effectiveness

India generates approximately 62 million tons of municipal solid waste annually, with plastic waste accounting for over 8%, according to the Federation of Indian Chambers of Commerce and Industry. The packaging sector remains a key contributor, driving consumption and waste.

“Almost three years after India announced a ban on single-use plastics, implementation remains inconsistent. While some areas report reduced availability of certain banned products, we continue to hear that these items remain widespread on the market,” says Youngman.

“The absence of national-level impact data makes it difficult to assess the ban’s overall effectiveness. As with other attempts to regulate plastics in India, gaps or unclarity in the legislative framework have led to persistent challenges, including limited enforcement capacity, inadequate monitoring, and insufficient support for transitioning to alternatives.”

Illegal imports strain domestic efforts

In 2019, India banned the import of plastic waste, aiming to improve how the country manages its waste and cut down on pollution caused by incorrect packaging disposal. 

However, changes made to the Plastic Waste Management Rules in 2022 introduced some exceptions. These amendments allow importing PET plastic bottles for reprocessing.

“Despite India’s official restrictions, market trade data indicate that plastic waste and recyclates continue to be imported, primarily from the US, Canada, the EU, and Gulf countries,” says Youngman. 

“Our investigation further reveals that illegal shipments persist due to misdeclaration and the use of intermediaries or brokers, making enforcement challenging and allowing restricted materials to enter the country.” Mismanaged plastic waste results in environmental harm, according to EIA.

“This practice undermines India’s waste hierarchy, displaces locally collected plastic, strains recycling infrastructure, and erodes any possibility of the effectiveness of existing regulations or EPR schemes.”

Upcoming UN Global Plastics Treaty

India recently reiterated its support for a legally binding UN Global Plastics Treaty at the ongoing Third UN Ocean Conference.

“The [UN] Global Plastics Treaty is set to be finalized in August in Geneva and could significantly reshape plastic use, waste generation, and trade in India. While plastic waste trade is already regulated under the Basel Convention, the treaty’s real potential lies in addressing the full lifecycle of plastic, from production to disposal,” says Youngman.

“By curbing production and improving product design, it [the treaty] aims to reduce the volume and toxicity of plastic entering the system. If agreed upon, these measures could help alleviate pressure on India’s waste infrastructure while supporting efforts to strengthen domestic waste management and reduce the need for plastic imports.”

“In doing so, the treaty could help protect Indian communities from the harmful impacts of plastic pollution and the broader economy from the escalating health, environmental, and climate costs of inaction,” she concludes.