Page 37 - Plastics News June 2026
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ENVIRONMENT NEWS








          fective implementation of DRS, strengthening          tainable. A DRS operator must provide clarity on
          the collection and sorting process of waste is of     recovering of operational costs through produc-
          utmost importance.                                    er fees, handling charges, retained deposits, or
                                                                government support on treatment of unclaimed
          In the recent times, consumer awareness around        deposits, as brand owners pre-fund the deposit
          waste, recycling and circularity has grown rap-       pool and bear the system costs.
          idly in the urban cities due to increasing envi-
          ronmental concerns, global exposure to sustain-       Globally, as a standard practice, these deposits
          able alternatives and  responsible consumption        are often retained within the system or returned
          amongst children and the youth. Against this          to producers. With limited visibility on the com-
          backdrop, DRS appears attractive as it prom-          plete value chain, the industry may perceive DRS
          ises  traceable,  high-volume  collection  of  post-  as an additional financial burden rather than a
          consumer waste and improved recycling perfor-         circular enabler.
          mance.
                                                                In the Indian context, the success of new initia-
          Assessing India’s readiness for DRS                   tives is often contingent on the level of conveni-

                                                                ence they offer to consumers. Any friction in the
          While recycling is critical to India’s journey to     return process of packaging and deposits may
          circularity, it is imperative to understand that      discourage consumers from making additional
          in India, the waste collection, segregation and       efforts to return packaging or create a negative
          management are dependent heavily on informal          perception of the brands, rather than attributing
          workforce who work on the frontlines and col-         such frictions to the regulatory framework. Many
          lect significant volumes of waste back to the for-    people in India end up reusing the structured
          mal supply chain for recycling and reuse. Hence,      packaging at home for storage purposes which
          it becomes all the more critical that any DRS         can also lead to delays in bringing the waste
          model must complement and strengthen the ex-          back to the supply chain.
          isting system.
                                                                State specific DRS regulations may create chal-
          While India is working progressively towards          lenges  for PIBOs  like  different  stock  keeping
          DRS, it is still in nascent stages in the states which   units (SKUs) with DRS markings, QR code, pre-
          are enforcing DRS in 2026. There is a need to         funding of deposits, interstate travel of pack-
          develop enabling infrastructure such as reverse       ages by consumers, risk of double counting with
          vending machines, digital tracking systems, cen-      EPR, unfair payment of deposits for consumers
          tralized  sorting  centres  and  scaling such  sys-   travelling from DRS states to non-DRS states,
          tems would require substantial investments in         amongst others, along with central govern-
          information technology (IT) systems, transport,       ment  regulations  of EPR.  The  end  goal  of any
          manpower and would therefore evolve progres-          proposed scheme must be to deliver meaning-
          sively over time.
                                                                ful recycling outcomes and not create ambigu-
          For any deposit scheme to deliver results, its fi-    ity through overlapping regulatory requirements
          nancial foundations need to be robust and sus-        for PIBOs and consumers.



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