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Indian rPET Market: High Shipping Costs Stall Exports
India's rPET market stays steady as scrap sellers hold stock for post-monsoon demand. High ocean freight costs continue to stall export sales.
Recykal Times Desk1 Sept 20261 min read12 sources
For Buyer, Seller, Recycler, Aggregator, Trader, Manufacturer, ExporterIndia's recycled PET (rPET) market remained largely steady in late August, backed by high raw material costs and sellers holding back stock. Overseas interest in processed plastic remains solid, but high ocean freight rates continue to limit export sales.
Regional Market Breakdown
Scrap bottle collection has improved, but traders are intentionally holding onto supplies, expecting a surge in post-monsoon buyer demand.
- Delhi-NCR: Shows the strongest buyer demand in the country, especially for high-quality bottle scrap like first-grade bottle priced at INR 61/kg. High raw material costs are putting pressure on recyclers, suggesting prices for flakes and pellets could rise soon.
- Mumbai: Buying activity is very quiet, with few deals closing. However, expensive raw materials and expected post-monsoon demand are keeping prices steady for both textile and food-grade plastic.
- Ahmedabad (Gujarat): Local trading remains unpredictable. Bottle scrap prices have edged up slightly over recent weeks, but recent price hikes in new (virgin) PET have not yet passed down to the recycled market.
Export Market Overview
High shipping tariffs remain the biggest hurdle for exports, keeping actual deal volumes low despite solid interest from overseas buyers.
| Product Grade | Price & Market Trend |
|---|---|
| Standard Bottle Bales | Prices increased slightly and is at $560.5-586/t FOB India, up by 1.9-4.7% week-over-week; sales slowed by high freight costs. |