The Indian government has approved a ₹1,500 crore incentive scheme to boost the recycling of critical minerals from e-waste, used lithium-ion batteries, and end-of-life vehicles. It is expected to encourage domestic companies to develop 270 kilotons of annual recycling capacity and attract ₹8,000 crore in investments.
The domestic market for the waste management and recycling sector is expected to grow at a CAGR of 5.8% in the coming years. The new initiative is aimed at building domestic supply chain resilience and securing key elements vital for sectors like energy, defence, and space.
| Name | Market Cap (₹ Cr) | PE Ratio | PB Ratio | Asset Turnover Ratio | EBITDA Margin (%) |
| Eco Recycling Ltd | 1,152.98 | 17.50 | 12.87 | 0.48 | 72.16 |
| Z-Tech (India) Ltd | 809.52 | 40.09 | 4.74 | 0.76 | 29.91 |
| EMS Ltd | 2,965.62 | 16.16 | 3.03 | 0.92 | 27.50 |
| Concord Enviro Systems Ltd | 1,005.01 | 19.52 | 1.88 | 0.81 | 15.20 |
The company has increased its recycling capacity to 25,200 metric tons per annum, fully funded through internal accruals. This expansion highlights Eco Recycling’s focus on sustainability and strengthens its ability to meet rising market demand. The company aims to scale capacity to 100,000 metric tons over the next 2–3 years, reflecting a strategic and forward-looking growth plan.
The company’s strategy of offering advance payments to labour contractors has given it a 6–7% margin edge over peers. This is due to faster project execution and increased vendor discounts. The company’s cash flow has also improved from a negative ₹115 crore last year to a positive ₹33 crore this year, reflecting better working capital management and operational efficiency.
The company projects an 18–20% growth rate for FY26, supported by strategic orders and a balanced mix of small to mid-sized projects. The second half of the year is expected to drive 60–65% of annual revenue, backed by a strong order pipeline. Employee costs are being managed efficiently and are expected to decline as a share of sales. With improved operational efficiency, the company aims to maintain stable margins and achieve an estimated EBITDA margin of around 16%
India’s waste management and recycling sector is entering a high-growth phase, supported by a ₹1,500 crore government incentive and rising industrial demand for sustainable practices. Companies like Eco Recycling, EMS, and Concord Enviro Systems are well-positioned to capitalise on this trend. Those with a Demat account can explore these opportunities to align profits with sustainability.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.
Published on: Oct 31, 2025, 5:51 PM IST
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