Introduction, What is Aluminium Can Recycling?, How to Start?, How to Select the Right Place, Equipment, Staff, Materials & Cost, Licenses or Permits Required, Aluminium Can Recycling Process, Marketing Areas and Ideas, Packaging, Overall Investment, Profit in Aluminium Can Recycling Business, Risk Factors, Final Words
Introduction
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Introduction |
The aluminium can recycling business is one of the
most profitable and eco-friendly ventures in today’s circular economy.
Aluminium is 100% recyclable without losing quality, and the demand for recycled
aluminium ingots is growing rapidly in packaging, automotive, and
construction industries. With rising awareness of sustainability and government
incentives, entrepreneurs are searching for how to start aluminium recycling
plant and turn waste cans into cash. This guide covers the aluminium can
recycling process, plant cost, equipment, licenses, profit margin, and risks
— everything you need to start a successful business.
What is Aluminium Can Recycling?
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What is Aluminium Can Recycling? |
Aluminium can recycling is the process of collecting,
sorting, shredding, melting, and recasting used beverage cans into new
aluminium products or ingots. Recycling aluminium saves 95% of energy
compared to producing aluminium from raw bauxite. Globally, billions of
beverage cans are consumed every year, and setting up an aluminium recycling
plant provides both financial benefits and environmental impact reduction.
How to Start Aluminium Can Recycling Business
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How to Start Aluminium Can Recycling Business |
Here’s a step-by-step plan:
- Conduct
market research and understand aluminium scrap price today.
- Source
aluminium can scrap from vendors, collection centers, and households.
- Choose
the right industrial area for your aluminium recycling plant
setup.
- Buy
the required aluminium recycling equipment (shredder, furnace,
moulds).
- Get
all licenses and pollution control permits.
- Hire
skilled operators and general labor.
- Partner
with aluminium scrap buyers and industries that use recycled
aluminium ingots.
- Promote
your business as a sustainable recycling solution.
How to Select the Right Place
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How to Select the Right Place |
- Select
an industrial zone with reliable electricity and water supply.
- Keep
the plant away from residential areas to meet pollution control board
(PCB) requirements.
- Ensure
transport access for raw scrap collection and ingot delivery.
- Stay
close to scrap aluminium suppliers and bulk aluminium buyers.
Equipment, Staff, Materials & Cost
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Equipment, Staff, Materials & Cost |
To set up an aluminium can recycling plant, you’ll
need:
- Shredder
Machine – ₹5–8 lakh
- Furnace
(Melting Unit) – ₹10–15 lakh
- Ingot
Casting Machine – ₹4–6 lakh
- Sorting/Conveyor
Systems – ₹3–5 lakh
- Baling/Compacting
Machine – ₹3–5 lakh
- Safety
Gear & Tools – ₹50,000
- Raw
Material (scrap aluminium cans) – ₹40–60/kg
- Staff:
1 manager, 2 operators, 3–4 workers (₹1.5–2 lakh/month for salaries).
Licenses or Permits Required
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Licenses or Permits Required |
- Trade License from local authority.
- GST Registration for taxation.
- Pollution
Control Board Clearance.
- Factory
License.
- Fire
& Safety Certificate.
Aluminium Can Recycling Process
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Aluminium Can Recycling Process |
- Collection
& Sorting – Gather aluminium cans from households, shops, scrap
dealers.
- Baling/Compacting
– Compress cans for easy handling.
- Shredding
– Break cans into smaller pieces.
- Melting
– Heat in furnace at 660°C.
- Purification
– Remove impurities.
- Casting
into Ingots – Recycled aluminium turned into ingots or billets.
- Supply
to Buyers – Industries reuse recycled aluminium for packaging,
vehicles, and more.
Marketing Areas and Ideas
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Marketing Areas and Ideas |
- Partner
with beverage companies for bulk can collection.
- Sell
to automobile manufacturers, packaging companies, and exporters.
- Register
on B2B platforms to reach aluminium scrap buyers and ingot
suppliers.
- Promote
as eco-friendly recycling business through digital marketing.
- Offer
scrap pickup services near me to households and businesses.
Packaging
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Packaging |
Recycled aluminium is usually supplied in the form of ingots
or billets. These are packed in wooden or metal pallets for safe
transport. For direct industrial buyers, simple bundling works.
Overall Investment
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Overall Investment |
- Small
Scale Plant: ₹30–50 lakh
- Medium
Scale Plant: ₹60 lakh–₹1 crore
- Large
Scale Unit: ₹1.5–3 crore
Profit in Aluminium Can Recycling Business
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Profit in Aluminium Can Recycling Business |
- Profit
Margin: 15–25%
- A
medium plant can earn ₹2–5 lakh monthly net profit.
- Profit
depends on scrap aluminium price per kg, plant efficiency, and
buyer contracts.
Risk Factors
- Fluctuating
scrap aluminium prices.
- High
electricity/fuel costs for furnaces.
- Strict
compliance with PCB regulations.
- Competition
from large-scale recycling units.
- Raw
material supply inconsistencies.
Final Words
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Final Words |
The aluminium can recycling business is more than just a profit-making idea — it’s a sustainable opportunity that helps reduce waste, save energy, and promote a circular economy. With proper plant setup, licenses, equipment, and marketing, you can build a high-demand business that ensures long-term profitability while contributing to the environment.
FAQs on Aluminium Can Recycling
Q1. Is aluminium can recycling profitable in 2025?
Yes, with demand for recycled aluminium growing, profit margins of
15–25% make it highly profitable.
Q2. What is the cost of starting aluminium recycling
plant in India?
A small-scale plant costs ₹30–50 lakh; medium-scale ₹60 lakh–₹1 crore.
Q3. How much money can you make recycling aluminium cans?
A medium unit can earn ₹2–5 lakh per month net profit.
Q4. What licenses are needed for aluminium recycling
business?
You need a trade license, GST, PCB clearance, factory license, and fire
safety certificate.
Q5. What is the aluminium scrap price today?
It generally ranges between ₹40–60/kg depending on purity and market demand.
Q6. How much energy does aluminium recycling save?
Recycling aluminium cans saves up to 95% energy compared to producing
new aluminium.
Q7. Where can I sell aluminium cans for cash near me?
You can sell to local scrap dealers, recycling centers, or aluminium scrap
buyers online.
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