In a move to address plastic pollution and boost Maharashtra’s green manufacturing sector, the MahaYuti government has given the green light to the Maharashtra Bioplastics Policy 2026. This policy aims to promote bioplastics manufacturing with incentives and funding, intending to make Maharashtra a national hub for bioplastics production, research, innovation, and exports. The government anticipates attracting investments of Rs 25,000 crore, creating 1.31 lakh jobs, and generating revenue of around Rs 30,039 crore.
The Maharashtra Bioplastics Policy 2026, effective from 2026 to 2031, targets the establishment of a production capacity of 2 lakh tonnes per annum (TPA) for PLA and biopolymers. It also aims to reduce the state’s reliance on imported PLA by 50%. Moreover, the policy sets goals to replace 30% of single-use plastics in selected sectors with compostable alternatives, achieve $1 billion in exports, and integrate 1 lakh farmers into the bioplastics value chain.
The state Cabinet has approved a total outlay of Rs 10,892 crore for the policy, with Rs 782 crore allocated for the initial five years and Rs 10,110 crore for the subsequent two decades. A provision of Rs 50 crore has been designated for 2026-27 under the Package Scheme of Incentives. The policy intervention comes in response to mounting concerns over traditional plastic waste, microplastics, marine pollution, and greenhouse gas emissions, driving the need for bio-based and biodegradable substitutes.
Maharashtra’s strategic advantages, including its prominence in sugarcane, sugar, and ethanol production, offer ample raw materials like corn, bagasse, and molasses for bioplastics production. With a robust chemicals industry, leading research institutions, and logistical support from the Jawaharlal Nehru Port Authority (JNPA), Maharashtra is well-positioned to develop a thriving bioplastics ecosystem. The urgency for this transition is highlighted by the state’s generation of nearly 3.96 lakh tonnes of plastic waste in 2022-23.
The policy encompasses the entire bioplastics value chain, from raw material processing to end-product manufacturing, testing, composting, and certification services. Eligible units must obtain BIS/ISO 17088 certification or equivalent standards recognized by the Central Pollution Control Board. Key areas of focus include standards, industrial parks, research centers, skill development, and support for MSMEs, startups, women, and rural youth.
To attract significant investments, Maharashtra will offer a structured incentive framework, including special benefits for major projects exceeding Rs 3,000 crore. These projects can avail capital subsidies, SGST reimbursement, electricity duty waivers, and other incentives. The policy also encourages green practices like zero liquid discharge systems and renewable energy adoption, aligning with Maharashtra’s vision to become a sustainable manufacturing leader.
