How ReCircle Is Transforming India's Waste Management With A Circular Economy
- yanabijoor
- Mar 17
- 2 min read
Rahul Nainani and Gurashish Singh Sahni launched ReCircle, a clean-tech company, in 2016. It all started with a flash of inspiration during a Google Startup Weekend. Today, ReCircle is transforming India into a circular economy.
The Problem
India is one of the world's biggest waste producers, generating enormous amounts of plastic waste. Large parts of India's plastic harvest—estimated at 70-80%—are controlled by an informal and poorly working waste economy whose activities have little traceability. This results in poorly managed waste with severe environmental impacts.
The Solution
ReCircle solves these issues by creating traceable reverse supply chains for waste, beginning with plastics and extending to textiles, glass, and paper. In its technology platform, ClimaOne, ReCircle unites collectors, processors, and brands and delivers end-to-end traceability from collection to recycling. ReCircle partners with informal collectors—after conducting due diligence to ensure ethical practices—and partners with big companies like Hindustan Unilever and Coca-Cola to offset their plastic footprint in the form of plastic credits. It also has a Material Recovery Facility in Mumbai and is ready to launch its own recycling unit.
Why It's Innovative
ReCircle stands apart due to its innovative approach. Its ClimaOne platform offers end-to-end transparency, real-time data monitoring, and compliance reporting, integrating informal workers into a formalized system. By aligning with, rather than replacing, ReCircle is trying to work within the existing infrastructure already in place. Plastic credits allow brands to meet sustainability goals and India's Extended Producer Responsibility (EPR) regulations. Furthermore, ReCircle's integration downstream in the supply chain and its goals to address other waste streams like textiles set it apart from traditional waste management models.
Impact to date
ReCircle has done a great deal since its inception. It has kept over 169,000 metric tons of waste from landfills and water bodies across more than 270 Indian cities and towns. The organization has built a robust network, connecting with over 400 collection partners and 45 processors, positively impacting the lives of over 3,100 informal waste workers or Safai Saathis. On the financial front, ReCircle revenue is expected to increase from INR 2.45 crore ($300K USD) in FY23 and expects INR 100 crore ($11.5M in USD) by FY26. Its efforts have led to a 72% increase in informal workers’ incomes. Recircle is venture-backed and has attracted prominent investors like Flipkart Ventures, Venture Catalysts, and the DBS Foundation.
Areas of Improvement
Despite all the successes, ReCircle also has some areas that need improvement. India's recycling plants require more investment to process low-value plastics and drive recovery rates effectively. Scaling operations to include new waste streams like textiles and glass will be capital-intensive. Public awareness regarding the segregation of waste and recycling remains weak, hindering grassroots impact, and more education is needed. While ReCircle hopes to expand globally, entering markets like Europe and the U.S. will involve overcoming complex regulations and competition.
Sources:
https://smestreet.in/sectors/recircle-raises-funds-to-expand-plastic-waste-recycling-efforts-6946578
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