At a Glance
Four numbers behind India’s recycling story.
2011
EPR starts in India, through the E-Waste (Management and Handling) Rules.
35.4%
India’s share of global ship recycling by volume, up from 30.1% in 2024.
97%
Share of India’s ship recycling handled by the Alang-Sosiya yard in Gujarat.
1.5 to 4 million
Waste pickers and small scrap dealers behind most plastic recycling.
In this lesson
The Sectors, and the Core Driver
Five sectors, one big idea
- Recycling in India spans e-waste, plastic, metal, paper, and ship recycling. Each runs under its own rules. Most share one policy idea.
- That idea is Extended Producer Responsibility (EPR). It makes manufacturers responsible for their product’s end-of-life recycling, not just consumers or local governments.
- India first introduced EPR in 2011, through the E-Waste (Management and Handling) Rules. It has since spread to plastic packaging, batteries, tyres, and used oil.
- Producers meet EPR targets by buying tradeable EPR certificates from registered recyclers. This happens on an official electronic platform. Compliance becomes something a producer can buy.
- Ship recycling is India’s biggest success story. As of 2026, India holds the largest share of world ship recycling by volume.
True or False: India first introduced Extended Producer Responsibility (EPR) in 2011, through the E-Waste (Management and Handling) Rules.
True or False: EPR was first introduced in India through the plastic waste rules, before it spread to e-waste.
The Informal Sector, and What’s Next for EPR
Who does the work, and where policy is heading
- Much of India’s plastic recycling still runs through the informal sector. An estimated 1.5 to 4 million waste pickers and small scrap dealers handle most of it. They work outside any formal EPR system.
- Metal recycling has its own policy, the Steel Scrap Recycling Policy, 2019. It promotes Metal Scrapping Centres for ferrous, non-ferrous, and other scrap.
- From April 2026, EPR extends to non-ferrous metals too. These are aluminium, copper, zinc, and their alloys. It repeats the pattern seen with plastics, batteries, and tyres.
- NITI Aayog coordinates the circular-economy push through a Circular Economy Cell and 11 sector committees. In January 2026, it released reports on end-of-life vehicles, waste tyres, and e-waste and lithium-ion batteries.
- India’s recycling market was worth about $0.89 billion in 2025. It is projected to pass $1.45 billion by 2031 as EPR coverage widens.
- India’s ship recycling law took shape in late 2019. India acceded to the Hong Kong Convention on 28 November 2019. The Recycling of Ships Act, 2019 received Presidential assent on 13 December 2019.
True or False: From April 2026, EPR in India extends to non-ferrous metals like aluminium, copper, and zinc.
True or False: India acceded to the Hong Kong Convention on 28 November 2019, before the Recycling of Ships Act, 2019 received assent on 13 December.
Previous Year Questions
A trap examiners keep returning to: EPR started with e-waste in 2011. It did not start with plastic or bio-medical waste.
- UPSC CSP 2019Asked which rules first introduced EPR as an important feature. The answer is the e-Waste (Management and Handling) Rules, 2011. The earlier bio-medical and plastic rules are wrong. View this question on the full 2019 paper.
True or False: Ship recycling in India relies mainly on an informal, hard-to-measure workforce, the same way plastic recycling does.
Why Ship Recycling Is the Outlier
An incentive, not a ban or a tax
- This lesson covers recycling as an industry. For the waste rules themselves, see Solid and Hazardous Waste.
- EPR is an economic incentive, not a ban or a tax. It shifts the real cost of end-of-life waste onto the producer who created it.
- Most recycling sectors lean on an informal workforce. Ship recycling is different. It is a formalised, regulated, export-facing industry, and India leads the world in it.
- Paper recycling is covered with the wider paper industry. Deeper dives exist on e-waste, plastic, and metal recycling.
Think it through: why does EPR count as an economic incentive rather than a ban or a tax?
A ban outlaws a product. A tax raises revenue without fixing the waste. EPR shifts the cost of end-of-life waste onto the producer. That gives manufacturers a direct financial reason to design products that are easier to recycle, and to fund the recycling system.
Current Affairs
Alang’s milestone year, and the EU push
- As of 2026, India holds a 35.4% share of global ship recycling by volume, up from 30.1% in 2024. Volume rose to 2.99 million gross tonnes in 2025, from 1.86 million in 2024.
- The Ministry of Ports, Shipping and Waterways announced the milestone. It beats the Maritime India Vision 2030 target five years early.
- The Alang-Sosiya yard in Gujarat handles about 97% of India’s ship recycling. Hong Kong Convention funding helped 115 Alang facilities upgrade their safety and environmental standards.
- A ₹4,001 crore Shipbreaking Credit Note Scheme gives recyclers a 40% credit on scrap value toward new Indian-built vessels. It links recycling to shipbuilding. India plans to nearly double capacity to about 9 million LDT.
- On 1 July 2026, Union Minister Sarbananda Sonowal met EU Commissioner Jessika Roswall. They discussed India’s inclusion under the EU Ship Recycling Regulation (EUSRR). That would let Indian yards recycle EU-flagged ships. (Source: Business Standard)
- Over 30 Indian yards have applied for EU recognition. Three have completed all compliance, and six more are in process. A final EU decision is expected in autumn 2026.
- India has committed USD 8 billion to strengthen shipbuilding and ship recycling. It targets about 16,000 ships recycled over the next decade.
True or False: The Alang-Sosiya yard in Gujarat handles about 97% of India’s total ship recycling activity.
True or False: As of 2026, only 3 Indian ship recycling yards have completed full compliance for EU recognition, out of over 30 that applied.
Quick Q&A
What does EPR stand for?
Extended Producer Responsibility.
Which policy promotes Metal Scrapping Centres?
The Steel Scrap Recycling Policy, 2019.
What is India’s share of global ship recycling?
35.4% by volume, as of 2026.
Who coordinates the circular-economy push?
NITI Aayog, through its Circular Economy Cell.
Which EU regulation is India seeking inclusion under?
The EU Ship Recycling Regulation (EUSRR).
🎲 Practice: Recycling in India
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