Tyre Recycling Plant in India – Business Potential, Process Flow, and Regulatory Landscape

The tyre recycling industry in India is undergoing rapid transformation driven by environmental regulations, industrial demand, and global sustainability goals. A Tyre Recycling Plant in India is not just a compliance requirement but also a highly lucrative business model with growing domestic and international markets. Waste tyres, when processed effectively, can be converted into valuable industrial materials, reducing pollution and promoting circular economy practices.

Why Tyre Recycling Is Gaining Importance

India discards over 300,000 tonnes of tyres annually, making it one of the world’s biggest producers of tyre waste. Uncontrolled disposal leads to major environmental hazards, such as groundwater contamination, toxic fumes, and mosquito breeding. The Government has therefore tightened waste tyre management under the CPCB EPR Regulations, encouraging recycling units to expand and adopt cleaner technologies.

Major Products Generated from Tyre Recycling

A tyre recycling plant produces several high-value products:

• Pyrolysis Oil – Used as industrial fuel


• Carbon Black – Used in plastics, paints, and rubber products


• Steel Wire Scrap – Sold to steel smelting units


• Crumb Rubber – Used in road construction, playgrounds, and flooring


• Rubber Mulch – Used in landscaping
  These products have strong market demand, ensuring consistent revenue for recycling units.

Process Flow of a Tyre Recycling Plant

1. Collection & Sorting
   Waste tyres are sourced from transport companies, dealers, and municipal dumps.


2. Shredding
   Tyres are cut into small pieces using mechanical shredders.


3. Separation
   Steel wires and fibers are separated from the rubber.


4. Recycling Method (Pyrolysis / Mechanical Processing)
   Depending on the technology chosen, tyres undergo thermal or mechanical processing.


5. Final Product Packaging & Sale
   Recycled outputs are stored, tested, and sold to industrial buyers.

Regulatory Compliance Requirements

To operate legally, tyre recycling plants must obtain:

• Consent to Establish (CTE)


• Consent to Operate (CTO) from State Pollution Control Board


• EPR Registration under CPCB


• Factory License


• Environmental Clearance (if applicable)


• Fire Department NOC


• Trade License
  Compliance ensures that the plant manages emissions, waste, and safety measures responsibly.

Market Scope and Profitability

Recycled tyre products are widely used in road construction (as per MoRTH guidelines), civil engineering, playgrounds, and fuel industries. With rising raw material costs, industries prefer recycled alternatives, boosting the profitability of recycling units. Investors can expect high returns due to the low-cost availability of waste tyres and increasing market demand.

Agile Regulatory – Expert Assistance for Tyre Recycling Plant Setup

Agile Regulatory specializes in providing end-to-end assistance for setting up tyre recycling plants across India. From obtaining Pollution Control Board NOCs and CPCB EPR Registration to factory licensing, land documentation, and regulatory compliance, their team manages all formalities efficiently. With deep industry experience and a professional approach, Agile Regulatory ensures a hassle-free setup and smooth regulatory approval process for entrepreneurs entering the recycling sector.