Austrian packaging and recycling company ALPLA has opened a new plant in Ballito, marking its entry into the South African polyethylene terephthalate (PET) recycling market.
The company opened the facility after approximately 18 months and invested €60m ($65.36m).
The plant is situated on a 90,000m² site in the coastal town, located in the KwaZulu-Natal province.
The investment is poised to enhance the production of safe and sustainable plastic packaging in the region.
The new plant will generate up to 35,000 tonnes (t) of mechanically recycled PET (rPET) flakes and food-safe pellets each year from 2025, with 16,000t destined for conversion into rPET pellets.
A new extrusion line has been installed at the site, with production scheduled to begin in early 2025 following customer approval of the flakes and pellets.
The recycling facility has the capacity to house a second extrusion line if needed. , with an additional 30,000m² available for future expansions.
The recycled material from this facility will be utilised at ALPLA's Lanseria-based production plant for creating PET preforms used in drink bottle manufacturing.
ALPLA CEO Philipp Lehner said: "South Africa is a strategically important market for us and one in which we want to continue to grow.
“Together with our customers and partners, our aim is to provide safe, affordable and sustainable packaging solutions to our customers and to continue improving standards of living. With our investments in Ballito and before that in Lanseria, we have laid the foundation for a successful future."
This development aligns with South Africa's extended producer responsibility (EPR) regulations enacted in 2021, mandating that PET drinks bottles include 20% recycled content by 2026.
Ballito plant manager Gerhard Meyringer said: “With our expertise and experience in recycling and processing, we are a reliable partner for sustainable solutions. At the same time, we are promoting the circular economy in South Africa and reducing waste through close cooperation with regional collection programmes.”
In May this year, ALPLA entered into a strategic partnership with Re-Purpose to increase its PET plastic recycling in the region.
The collaboration focuses on developing solutions that promote the circular economy and job creation in KwaZulu-Natal and potentially across South Africa.