Extrupet, a Leading Recycling Company, Doubles Capacity with a New $20.5M Facility

Extrupet, one of Africa's pioneering recycling companies, doubles its food-grade plastic recycling operations in South Africa with the establishment of a fourth recycled PET (rPET) facility. The new facility is expected to increase the company's recycling capacity by 33,000 tonnes per year, more than doubling its food-grade operations capacity to over 60,000 tonnes per year.

The first phase of this expansion, estimated to cost R300 million (US$20.5 million), will be completed in 2023. The investment will not only increase the company's capacity from the current 5 million PET bottles per day, but it will also create new jobs in the PET bottle collection industry.

"The demand for food-grade recycling keeps on increasing, especially as retailers and consumers alike opt for more environmentally friendly options," said Chandru Wadhwani, Joint Managing Director at Extrupet.

"At the moment, only 60% of South Africa's plastic bottles are recycled." With this increased capacity, we will be able to accommodate more of South Africa's plastic waste, bolstering South Africa's position as an African and global leader in the circular economy."

Extrupet's recycled PET (rPET) is marketed under the PhoenixPET brand, which has received international recognition and is certified by the European Food Safety Authority, Global Recycled Standard, BRC Packaging (AA rating), and ISO 9001:2015.

The company was the first on the continent to recycle PET bottles into resin for reuse in new carbonated soft drink bottles using global FMCG-approved technology.

Among its other notable clients are major food and beverage companies, converters, and retailers. Extrupet is also the first company in the recycling industry to power its facility with renewable energy.

The recycler debuted its brand new 1.3MWp solar power plant in the middle of last year, with an annual generation capacity of 2GWh. The plant will reduce its carbon emissions by 1,800 tonnes per year, which is equivalent to the carbon sequestered by slightly less than 31,000 tree seedlings grown for ten years.

Furthermore, it is expected to reduce electricity costs by 30 percent in the first month and save between R130m (US$9m) and R140m (US$9.7m) over the life of the solar plant.

Extrupet has also been at the forefront of developing game-changing solutions, such as the wash-off label adhesive used on bottles. The invention, which makes plastic bottles fully recyclable, was developed in collaboration with PETCO, Oasis Water, label manufacturer UPM Raflatac, and label printers Java Print.