SDG 9: Industry, Innovation and Infrastructure | SDG 11: Sustainable Cities and Communities | SDG 12: Responsible Consumption and Production
NITI Aayog | Ministry of Environment, Forest and Climate Change (MoEFCC) | Central Pollution Control Board (CPCB)
NITI Aayog report titled Enhancing Circular Economy of Waste Tyres in India explores the challenges and opportunities in managing End-of-Life Tyres (ELTs) to advance India’s circular economy goals.
India is the world’s third-largest producer and consumer of tyres, generating approximately 1.5 to 2 million tonnes of waste tyres annually. Despite being a major hub for tyre recycling, a significant portion of this waste is managed through the unorganized sector using environmentally hazardous methods like open-pit burning or substandard pyrolysis. The Extended Producer Responsibility (EPR) Regulations for Waste Tyres, introduced in 2022, mark a strategic shift toward formalizing this ecosystem by mandating producers and importers to fulfill specific recycling obligations through a digital credit-trading mechanism.
Technological Pathways for Resource Recovery The transition to a circular economy relies on diversifying the end-use applications of waste tyre derivatives:
Material Recycling: Waste tyres are processed into Crumb Rubber Modifiers (CRM) for bituminized roads, which improve road durability and heat resistance. Other applications include reclaimed rubber for new tyres and crumb rubber for athletic tracks and flooring.
Energy Recovery: High-quality Tire Derived Fuel (TDF) is utilized in cement kilns as a co-processing fuel, effectively replacing coal and reducing the overall carbon footprint of heavy industries.
Advanced Thermochemical Conversion: Modernized pyrolysis plants convert tyres into Pyrolysis Oil, Carbon Black, and Steel Wire, providing high-value industrial raw materials.
Overcoming Structural and Regulatory Barriers The report identifies several challenges that hinder the full potential of tyre circularity:
Fragmented Collection: The lack of a structured reverse logistics network leads to the leakage of waste tyres into the informal economy.
Standardization Gaps: There is an urgent need for quality standards for recycled products like pyrolysis oil to ensure market acceptance and safety.
Fiscal and Market Incentives: Currently, virgin raw materials often remain more cost-competitive than recycled alternatives, necessitating targeted green procurement policies.
What is “Extended Producer Responsibility” (EPR) in the context of waste tyres? EPR is a policy approach where producers and importers are made legally responsible for the entire lifecycle of their products, particularly the post-consumer stage. In India, tyre producers must meet increasing recycling targets by purchasing “EPR Credits” from registered recyclers through a centralized CPCB portal, effectively creating a market-driven incentive for formal recycling infrastructure.
Policy Relevance
The formalization of the waste tyre sector is a key component of India’s broader G20 Resource Efficiency and Circular Economy Coalition (RECEC) commitments.
Strategic Resource Autonomy: Enhancing domestic recycling reduces India’s reliance on imported natural rubber and crude oil derivatives used in tyre manufacturing.
Decarbonizing Heavy Industry: Scaling co-processing in cement kilns offers a scalable solution for waste disposal while helping energy-intensive sectors meet their emission reduction targets.
Green Infrastructure: Integrating crumb rubber into the National Highways Development Project (NHDP) directly supports the Ministry of Road Transport and Highways’ goal of building “sustainable and long-lasting” road networks.
Follow the full report here: Enhancing Circular Economy of Waste Tyres in India

