The Indian recycled PET market saw a mild downward correction in prices during mid-February, largely driven by easing feedstock costs rather than any sharp drop in demand.

Market participants noted that PET bottle scrap availability improved slightly, particularly across key urban collection zones. This eased raw material pressure for recyclers and allowed for marginal downward price adjustments, especially in the flake segment.

At the same time, recyclers remained cautious about aggressive pricing, as costs related to washing, power, labour, and compliance continue to remain elevated.

CFR India Price Levels

On a CFR India basis, recycled PET prices were assessed as:

  • Premium R-PET clear flakes (low PVC) at ₹74–76/kg CFR, reflecting a week-on-week decline of around ₹0.40–0.50/kg
  • R-PET food-grade pellets at ₹97–99/kg CFR, showing a marginal correction, broadly aligned with softer upstream costs

The overall correction remained controlled, with no signs of distress selling.

Market Sentiment: Cautious, Not Weak

Market sentiment in India remained cautious but stable.

Buyers showed little willingness to build inventories ahead of the Lunar New Year holidays and the upcoming Ramadan period, preferring to purchase only against immediate requirements. This behaviour reduced spot activity and contributed to a softer market tone.

Despite this, end-use demand did not weaken materially. Converters linked to FMCG and beverage segments continued routine procurement, ensuring baseline demand for food-grade material.

Key sentiment indicators:

  • Buyers are negotiating more actively but not withdrawing from the market
  • Inventory-led buying is limited; requirement-based buying dominates
  • Food-grade R-PET demand remains comparatively resilient

Flake demand, especially in the spot market, stayed under pressure as traders adopted a wait-and-watch approach.

What Is Really Driving the Market

The current price movement reflects short-term demand caution rather than a structural slowdown.

Key factors influencing the market:

  • Improved bottle scrap availability
  • Seasonal slowdown in inventory build-up
  • Buyers delaying bulk purchases ahead of holidays

Importantly, sustainability-linked demand and regulatory requirements continue to support steady offtake for compliant recycled PET grades.

What the Market Is Watching Next

Market participants are closely monitoring:

  • Bottle scrap availability and pricing trends
  • Post-holiday procurement behaviour
  • Demand signals from FMCG and beverage brands

Any improvement in downstream buying or tightening of feedstock availability could help stabilise recycled PET prices in the coming weeks.

Team Polymint | India Recycled PET Market Update