Cambodia Investment Review
A1 Plastics Resources Limited (A1 Plastics) broke ground yesterday on their project – the first international food-grade plastics recycling facility in Krakor, Pursat Province, Cambodia. Located in the Pursat Special Economic Zone, this facility will utilise state-of-the-art technology to ensure the highest quality products.
Set to open in Q4 of 2026, the facility will be able to process and recycle up to 44,000 metric tonnes of post-consumer polyethylene terephthalate (PET) plastic on an annual basis. The initial operation will consist of two production lines; a washing line to create food-grade PET flakes and a pelletising line to convert the washed PET flakes into reusable pellets. The facility will cover a total area of 45,000 square metres, with a factory space of 12,000 square metres and a large section earmarked for future expansion.
Project Can Contribute To Reducing Pollution
Speaking at the ceremony, His Excellency Minister Keo Rottanak, Minister of Mines and Energy said, “If managed well, this project can strengthen livelihood, improve working conditions over time, and create a more stable market for A1 Plastics Resources Company Limited collected materials…I look forward to returning to Pursat to see the facility operating, local teams in place, and real progress visible in the supply chain. Delivered well, this project can contribute to reducing pollution in the communities and systems we all depend on.”
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During her speech, Ms. Deborah Lee, Chairwoman and Chief Executive Officer of A1 Plastics said, “The plant will deploy world-class, food-grade PET recycling technology, capable of transforming post-consumer plastic bottles into safe, high-quality materials for the textiles, food and beverage industry. A1 Plastics is closing the loop on plastic waste, turning an environmental challenge into an economic resource for the Kingdom of Cambodia.”
Designed To Produce Food-Grade Flakes & Pellets
The two production lines are engineered for excellence, specifically designed to produce food-grade flakes and pellets with FDA/EFSA approval. This ensures that the recycled materials not only meet but exceed the highest international safety standards required for food packaging and other applications. The washing line utilises the latest cleaning and AI enhanced sorting techniques to remove contaminants and guarantee the purity of the flakes, making them suitable for food-contact products.
Complementing this, the pelletising line, provided by NGR (Austria), incorporates their groundbreaking LSP (Liquid State Polycondensation) technology. This advanced system offers superior decontamination capabilities by effectively removing any residual contaminants while in liquid state, including those that may impact the quality of recycled materials. The LSP technology enhances the overall quality of the pellets produced, ensuring they meet rigorous industry standards while maintaining excellent physical properties.
With environmental concerns at the forefront, the facility is 100% powered by renewable energy, utilizing both solar and hydroelectric sources. This facility is designed to meet LEED Gold certification standards and will feature advanced features such as a filtration system to prevent micro-plastics from entering the environment. Additionally, A1 Plastics will implement water recycling within both production lines, ensuring minimal waste and efficient resource management.
Increasingly Recognize The Pressing Need For Sustainable Solutions
The global demand for recycled PET (rPET) is growing as industries increasingly recognize the pressing need for sustainable solutions, driven by food and beverage, consumer goods, and textile industries. With heightened awareness of environmental issues and regulatory pressure for reduced plastic waste, many A1 Plastics Resources Company Limited companies are making the switch to rPET in order to reduce their carbon footprint and support the circular economy.
The opening of this facility is expected to create numerous jobs in the region, supporting the local economy offering new employment opportunities for skilled and unskilled workers alike. The first phase of the facility will create 150 skilled jobs. By providing training and jobs, A1 Plastics’ aim to empower the local community and stimulate economic growth, contributing to the sustainable future of Cambodia.
This investment underscores A1 Plastics commitment to combating plastic pollution and advancing the circular economy of Cambodia. Mr. Adam Fetherstonhaugh, Managing Director of A1 Plastics said, “By establishing this facility, we aim to significantly increase the recycling rate of PET plastic in the region, thus contributing to cleaning communities and a healthier planet”.
