Karo Sambhav: Circular Economy and Recycling Company Secures Rs 56 Crore in Funding

Karo Sambhav, a prominent circular economy and recycling enterprise, has successfully raised Rs 56 crore (approximately $6 million) in a pre-Series A funding round, led by Rainmatter, a venture by Zerodha. The funds will be allocated towards enhancing recycling infrastructure aimed at the recovery of crucial, precious, and high-value materials, as indicated in a recent press release.

Established in 2017 by Pranshu Singhal, Karo Sambhav is focused on various domains such as e-waste, batteries, glass, and additional end-of-life material streams. The company collaborates with organisations such as the German Agency for International Cooperation, the International Finance Corporation (IFC), and the International Labour Organization to structure India’s informal recycling ecosystem.

The Importance of Recycling in India

Karo Sambhav points out that India’s capacity to recover essential materials like indium, tin, and rare earth elements is limited, posing a strategic challenge for sectors like artificial intelligence, quantum computing, advanced electronics, and renewable energy. Boosting domestic recycling abilities is increasingly vital due to changing global supply chains and geopolitical uncertainties.

Karo Sambhav’s Operations

This Gurugram-based company claims to run two recycling facilities and has successfully diverted over 150,000 metric tonnes of waste for recycling. Furthermore, it has created collection networks in more than 50 cities and has partnered with over 50 corporations, including tech giants like Apple, Dell Technologies, Cisco, and Canon, to help achieve their recycled-content and sustainability goals.

The E-Waste Challenge in India

India ranks as the third-largest producer of e-waste globally, generating an estimated 4.1 million metric tonnes each year, as per a recent market report. Global e-waste generation is anticipated to reach 82 million metric tonnes by 2030.

Future Plans for E-Waste Recycling

Karo Sambhav intends to focus on e-waste recycling due to its significant concentration of valuable metals and components, while also expanding its capacity to manage adjacent waste streams. Its proposed facility has been granted Eligibility Status under the Incentive Scheme for Promotion of Critical Mineral Recycling, part of the National Critical Minerals Mission (NCMM) from the Ministry of Mines.

Significant competitors in this sector include Rocklink India and Namo in electronic waste recycling, BATX and LEO in battery recycling, as well as E-Parisara and Rubamin.