Published on 27 Dec 2023

Indian firm begins plastic recycling operation in Tanzania

The US$270,000 facility set up by Gravita will export polypropylene to Asia and Europe

Indian recycling firm Gravita has begun commercial production of polypropylene granules at its new plastic recycling facility in Tanzania. These granules are utilised in manufacturing various products, including packaging materials, automotive parts, and textiles. Gravita plans to procure locally-sourced plastic scrap for processing, with the goal of selling the recycled plastics to manufacturers across Asia and Europe.

The facility has an annual capacity of approximately 1800 tonnes and cost about US$270,000. Gravita first entered Tanzania in 2019 with a lead recycling plant in Zegereni, situated 56 km from Dar es Salaam. In the same year, it also added an aluminium recycling facility. In May 2023, Gravita further grew its presence in the East African nation with a new plant dedicated to the recycling of waste rubber.

Established in 1992 and listed on both the National and BSE stock exchanges, Gravita began as a lead recycler in Jaipur, India. The company has since expanded both within India and abroad, with a significant focus on Africa, where it operates in multiple countries.

In 2007, the firm made its first foray into Africa by establishing a lead recycling unit in Ghana, and in the following year, it set up similar facilities in Mozambique and Senegal. Today the firm recycles over 62,000 tonnes of scrap out of Africa each year. It has diversified its operations to include aluminium and plastic recycling.

Earlier this year, Gravita inaugurated a battery recycling facility in Togo, dedicated to the commercial production of lead. This development came on the heels of an aluminium recycling facility in the West African country late in 2022. This factory specialises in producing aluminium casting alloys from scrap materials, which are then exported to Asian companies involved in manufacturing automotive and consumer goods parts. Prior to establishing these plants, Gravita had already developed an extensive scrap collection network in Togo.

Research from Emkay Global indicates that Gravita's success in Africa can be attributed to the plentiful availability of inexpensive scrap, favourable government policies, and duty benefits for exports.

Local entrepreneurs in Africa are increasingly taking advantage of business opportunities in the recycling sector, which was once mainly the domain of local governments, according to the United Nations Environment Programme (UNEP). For instance, RecyclePoints of Nigeria incentivises individuals to recycle materials like PET bottles, aluminium cans, and newspapers, offering points that can be exchanged for cash or household items. Mr Green Africa, based in Kenya, engages in collecting, converting, and selling post-consumer plastic waste. It is backed by American materials science company Dow and various investment funds. Another startup, Kubik, transforms recycled plastic waste into interlocking building materials, including bricks, beams, and columns. Recently, Kubik commenced operations in Ethiopia, targeting the affordable housing market.

Manufacturing Africa, a programme funded by the UK government, has underscored the potential for recycling lithium-ion and lead-acid batteries in Nigeria, paper and plastics in Rwanda, and hard plastics in Ethiopia to provide raw materials for local manufacturers who currently rely on imports. The International Trade Centre has also identified opportunities in recycling used vehicles and their components.

 

References

Gravita Tanzania Limited started commercial production of aluminum cast alloys from its plant situated at Tanzania, Africa’, Gravita, 11 July 2019

Packaging landscape in Ethiopia’, Manufacturing Africa, November 2020

Chioma Ukonu, a social entrepreneur turning waste into impact in Nigeria’, Lionesses of Africa, 10 January 2021

Second life batteries market assessment’, Manufacturing Africa, May 2021

A recycling major in the making’, Emkay Global, 21 December 2021

Sustainable packaging - Rwanda opportunity’, Manufacturing Africa, 2021

Dow invests in recycler, Mr. Green Africa, to address waste management gaps and accelerate a circular economy for plastics in Africa’, Dow, 11 January 2022

Made by Africa’, International Trade Centre, November 2022

Gravita starts aluminium recycling plant in Togo-West Africa’, Gravita, 06 December 2022

Gravita started commercial production of rubber recycling in Tanzania, East Africa’, Gravita, 24 May 2023

Africa’s private sector supports fight against plastic pollution’, UNEP, 01 June 2023

Ethiopia: Converting plastic waste into affordable homes’, How we made it in Africa, 17 July 2023

Gravita starts battery recycling in Togo’, Gravita, 29 August 2023

Investor presentation’, Gravita, October 2023

Gravita starts plastic recycling plant in Tanzania’, Gravita, 07 December 2023

About us’, Mr Green Africa, Accessed 14 December 2023

Annual report 2022-23’, Gravita, Accessed 14 December 2023

Tanzania’, Gravita, Accessed 14 December 2023

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