Nigeria could save an estimated $72m annually on imported virgin plastic resin when a newly commissioned $60m recycling plant in Ogun State reaches full production capacity.
Polysmart Packaging Limited commissioned the first phase of the facility in Mowe on October 29, with plans to produce 60,000 tonnes of food-grade recycled polyethylene terephthalate annually.
The plant is designed to process up to 100,000 tonnes of post-consumer PET waste yearly, equivalent to about 6.5 billion bottles, or 15 million bottles daily, according to the company.
Polysmart said the investment would provide local packaging manufacturers with an alternative to imported virgin PET resin, which Nigeria consumes at an estimated 600,000 tonnes annually.
The company said the facility, described as Africa’s largest food-grade recycled PET plant, would use advanced sorting and recycling equipment supplied by European manufacturers Erema, Sorema and Tomra.
Its recycling processes are designed to meet food-contact requirements set by the United States Food and Drug Administration and the European Food Safety Authority, with the company targeting international markets.
To secure enough plastic waste for production, Polysmart plans to expand its existing network of 25 aggregation centres across eight states by establishing another 250 centres nationwide within two years.
The company expects the investment to generate about 1,000 direct jobs and more than 50,000 indirect jobs in waste collection, sorting and transportation.
Speaking at the commissioning, the Chief Executive Officer, Wasiu Balogun, said the facility would strengthen plastic waste recovery and support Nigeria’s transition to a green economy.
He said the company, which began operations in 2013 with an initial capital of N2m, planned to establish collection agents across the country’s 774 local government areas.
Balogun also cited the National Environmental Standards and Regulations Enforcement Agency’s guidelines on Extended Producer Responsibility and the National Environmental (Plastic Waste Control) Regulation 2026 as important frameworks for tracking plastic waste and supporting compliance by manufacturers.
The Ooni of Ife, Oba Adeyeye Ogunwusi, called for stronger enforcement of environmental regulations to tackle indiscriminate plastic disposal.
He warned that discarded plastic bottles and other non-biodegradable materials were threatening environmental sanitation, particularly when dumped on roads and in drainage channels.
The Chairman of Polysmart’s board, Niyi Yusuf, said the investment demonstrated confidence in Nigeria’s industrial sector and could position the country as a recycling hub for West Africa.
He called for stronger producer responsibility systems and sustained investment in recycling infrastructure, citing Germany, South Korea and the Netherlands as examples of countries with established recycling systems.
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