US tariff impact on textile demand
US tariffs on Indian textile imports have halted new orders from Americas, potentially affecting legacy RPSF demand.
GANECOS / bear-case history
Track the concerns that keep returning.
Ganesha Ecosphere · risk themes across the available quarters.
Research layer active
Bear-case history
Risks carried through the record.
high
Regulatory uncertainty on EPR carryforward
MOEF draft notification allowing shortfall carryforward may reduce near-term rPET demand; final rules pending.
Margin pressure from new capacity
Announced industry capacity of 3.5 lakh tons by FY27 could lead to oversupply and margin compression.
Raw material price volatility
Scrap bottle prices remain volatile; any future spike could again compress margins if not passed through.
Regulatory delay on draft notification
The draft notification providing relaxation on mandatory recycled content targets for FY26 has not been finalized, causing demand uncertainty for rPET.
Increased competition from new FSSAI-approved recyclers
Number of approved recyclers has increased from 5-6 to 13, intensifying competition and pressuring margins.
US tariffs on PET granules
Since September 2025, PET granules are no longer exempt from US tariffs, limiting export opportunities.
Raw material price volatility
Seasonal fluctuations in bottle scrap availability and prices can impact margins; management maintains only 30-35 days inventory.