Government Calls for Investment in Circular Economy with Inauguration of Extrupet’s New Recycling Plant

Cape town: With the official opening of Extrupet’s new food-grade Polyethylene Terephthalate (PET) plastic recycling plant in Cape Town, the government has encouraged the waste sector to invest in building a circular economy that works for all. This plant adds 15,000 tonnes of recycled PET per year, increasing Extrupet’s total output from 30,000 to 45,000 tonnes. With phase two planned, national capacity will reach 60,000 tonnes next year.

According to South African Government News Agency, Dr. Dion George, Minister of Forestry, Fisheries, and the Environment, commended Extrupet, Propet, and PETCO for their investment and commitment. He described it as a demonstration of leadership expected from industry and a step towards making South Africa’s waste sector a cornerstone of the circular economy. Addressing the opening of the facility in Cape Town, the Minister noted that the investment also supports competitiveness.

New European Union rules require plastic beverage bottles to contain at least 25% certified recycled PET. With local food-grade recycled polyethylene terephthalate available at scale, Western Cape producers are better placed to meet these standards and protect export markets. George emphasized that this facility represents more than just infrastructure; it symbolizes how South Africa can transform a crisis into an opportunity. The government aims to create an enabling environment through clear policy, vision, and partnership, turning plastic waste into a driver of jobs, innovation, and inclusive growth.

The National Development Plan, the National Waste Management Strategy, and the Extended Producer Responsibility regulations provide the necessary framework. George highlighted that industry investments and delivery bring these plans to fruition, leading to collective growth and sustainability. He stressed the value of PET plastics when properly collected, as they are among the most visible materials in the waste stream.

Waste pickers, who view PET not as waste but as a source of income and dignity, play a crucial role. Proper collection supports livelihoods and enterprise development, while improper disposal results in environmental pollution. The facility aims to create opportunities by integrating waste pickers and Small, Medium, and Micro Enterprises (SMMEs) into the formal system, strengthening the value chain.

The government’s extended producer responsibility (EPR) regulations set clear targets for collection and recycling, including different grades of PET. PETCO, as the Producer Responsibility Organisation, supports compliance and system building. Through collaboration, more than 70% of PET beverage bottles placed on the market by PETCO members are collected and recycled, turning regulations into reality. Facilities like this one expand capacity, while waste pickers collect and sort materials, and companies invest in infrastructure, skills, and awareness.