ITC Drives Plastic Neutrality and Sustainable Packaging for a Greener India

On World Environment Day, June 5, 2025, ITC Limited reaffirmed its commitment to combating plastic pollution through its ‘No Plastic, Better Plastic, Less Plastic’ strategy. Maintaining plastic neutrality for the fourth consecutive year, ITC collected and managed 76,000 tonnes of plastic waste in FY 2024-25 while advancing sustainable packaging innovations across its FMCG, paperboards, and hospitality businesses. With community-driven waste management programs and a goal to achieve 100% recyclable, reusable, or biodegradable packaging by 2028, ITC supports India’s ‘One Nation, One Mission: End Plastic Pollution’ initiative, contributing to a cleaner, more sustainable future.

ITC’s plastic sustainability strategy addresses India’s plastic pollution crisis, which generates 25,000 tonnes of plastic waste daily, with only 5% recycled and 18% composted, according to Outlook Business data. The company’s three-pronged approach—No Plastic, Better Plastic, Less Plastic—focuses on replacing single-use plastics with biodegradable alternatives, improving recyclability, and reducing packaging weight. In FY 2024-25, ITC achieved plastic neutrality by collecting and sustainably managing 76,000 tonnes of plastic waste, maintaining this status for four years. Additionally, ITC has been solid waste recycling positive for 18 years, ensuring more waste is recycled than generated across its operations.

The ‘No Plastic’ pillar promotes sustainable alternatives to plastic packaging. ITC’s Paperboards & Packaging business has developed biodegradable solutions, including the ‘Filo’ series of recyclable, compostable, barrier-coated boards for food and beverage applications, eliminating plastic filament coatings. ‘Bioseal,’ a bio-compostable food-grade coating, and ‘Ecobyte,’ a B2C eco-friendly packaging range, cater to industries like food service, pharmaceuticals, and electronics. To support these innovations, ITC established a state-of-the-art moulded fibre manufacturing facility in Madhya Pradesh, producing premium packaging from plant-based renewable fibres. Within its FMCG portfolio, products like Aashirvaad Khapli Atta feature a dual-layer ‘bag in bag’ design with a 100% paper outer pack and recyclable inner pouch, replacing laminated plastic. Similarly, Sunfeast Farmlite Core Digestive’s large pack uses a 100% paper outer bag, reducing plastic dependency.

The ‘Better Plastic’ approach enhances packaging recyclability. ITC’s Mangaldeep 3-in-1 agarbatti portfolio transitioned from multi-layered plastic laminates to 100% mono-material laminates, simplifying recycling. Fiama Handwash adopted recyclable monolayer pouches, replacing multi-layered structures, and Fiama Showergel and Handwash PET bottles now incorporate 50% recycled plastic. These changes align with India’s Plastic Waste Management Amendment Rules (2021), which ban single-use plastics and mandate improved recyclability, as noted in Outlook Business reports. By prioritizing mono-material designs, ITC ensures its packaging can be processed efficiently in recycling systems, reducing landfill waste.

The ‘Less Plastic’ strategy focuses on material optimization. ITC reduced packaging weight for Engage deodorant spray cans by 31% through design improvements, minimizing plastic use without compromising functionality. Across its FMCG brands, ITC optimizes packaging to lower environmental impact, responding to consumer demand for sustainable products. A 2023 Yale-CVoter survey found 66% of Indians support eco-friendly packaging, even at higher costs, reflecting strong public backing for such initiatives. ITC’s efforts also align with SEBI’s strengthened green bond regulations, which fund sustainable projects, as highlighted in trade.gov reports.

ITC’s community-based waste management programs amplify its impact. The ‘Well-being Out of Waste (WOW)’ initiative promotes waste segregation and recycling, reaching 29 million citizens across 7.2 million households. Collaborating with urban local bodies, WOW supports 17,900 waste collectors by providing sustainable livelihoods and raising awareness about proper waste disposal. The program ensures plastic waste is collected and processed, preventing landfill accumulation and riverine pollution, which contributes 90% of global plastic emissions via rivers like the Ganges, per Outlook Business data. ITC’s Mission Sunhera Kal, a decentralized solid waste management model, operates in 34 districts across 12 states, reaching 75 lakh households. By managing waste at the source, it promotes plastic circularity and supports ragpickers, reducing environmental and health risks from plastic pollution.

The YiPPee! Better World program, part of ITC’s Foods business, educates 14 lakh children across 4,175 schools about plastic waste management. In 2024-25, it provided 1,125 benches and tables and 350 sports kits made from recycled plastic, fostering sustainable behaviors among students. ITC Hotels has eliminated single-use plastics from 150 touchpoints, reducing 2.5 lakh kg of plastic annually, aligning with its ‘Responsible Luxury’ ethos. These initiatives complement India’s Swachh Bharat Mission, which promotes multi-stakeholder partnerships to manage the 277 million tonnes of annual municipal solid waste, as reported by Outlook Business.

ITC’s goal to make 100% of its packaging recyclable, reusable, compostable, or biodegradable by 2028 is part of its Sustainability 2.0 Vision. This ambition responds to regulatory pressures, such as the Battery Waste Management Rules (2023) mandating 70% material recovery by FY 2025, and consumer trends favoring eco-friendly products. The company’s innovations address the packaging industry’s transformation, where biodegradable solutions are increasingly demanded across sectors like food and electronics. By investing in research and development, ITC ensures its packaging meets stakeholder expectations while reducing environmental impact.

India’s broader environmental context underscores ITC’s efforts. With 63 of the world’s 100 most polluted cities, as per Outlook Business, and microplastics posing health risks through 50,000 particles consumed annually per person, per WHO 2016 estimates, sustainable packaging is critical. ITC’s initiatives also support India’s 2070 net-zero goal, backed by 86% of citizens in the Yale-CVoter survey. By integrating community programs, innovative packaging, and circular waste systems, ITC sets a benchmark for corporate sustainability, contributing to the government’s ‘One Nation, One Mission: End Plastic Pollution’ campaign.

Conclusion

ITC’s ‘No Plastic, Better Plastic, Less Plastic’ strategy positions it as a leader in combating plastic pollution in India. By achieving plastic neutrality, developing biodegradable packaging, and engaging communities through WOW and Mission Sunhera Kal, ITC aligns with national environmental goals. Its 2028 target for fully sustainable packaging and ongoing waste management efforts ensure a lasting impact, driving India toward a cleaner, greener future while setting a model for responsible business practices.