Pune, January 2026: Zerocircle, a materials science company developing natural alternatives to plastic, has added 3one4 Capital to its cap table, joining existing backers including Rainmatter Capital, 1Crowd, LNB Group, and 7th Gen Ventures.
With this latest fund closure, Zerocircle’s total funding now stands at ₹25 crore, including venture capital investments, scientific grants, and innovation awards raised over the past few years.
India’s Sustainability Wave and Global Backing
The investment comes as India rapidly positions itself as a global hub for climate, materials, and sustainability-led innovation, driven by growing regulatory pressure on single-use plastics, a strong domestic consumption base, and globally competitive manufacturing capabilities.
Zerocircle is now moving from pilot projects to industrial-scale production, establishing India as an exporter of sustainability solutions rather than a test market.
Among its global supporters are Hollywood actor and environmental advocate Trudie Styler and venture capital firm Trousdale Ventures, both backing Zerocircle’s deeptech export ambitions.
Funding to Drive Research and Scale
Zerocircle said the new capital will accelerate deeptech research, process scale-up, and commercialization efforts, focused on replacing plastics in food and consumer packaging through natural polymers and compounds.
The company’s materials are engineered to eliminate toxic plastics and reduce microplastic leakage into the human body, soil, air, and oceans.
A key milestone for the company came when it brought down the cost of its materials to near-polyethylene (PE) levels — the world’s cheapest and most widely used fossil-based plastic. Initially, Zerocircle’s materials cost nearly five times as much as PE, but advancements in scale, process optimization, and material chemistry have significantly reduced costs.
Founder’s Vision: Scaling Sustainable Packaging
“In our first year of commercialization, we replaced 1.6 million units of plastic in food packaging. Our biggest milestone was achieving price parity with PE, a major source of microplastic leakage,” said Neha Jain, Founder and CEO of Zerocircle.
“With this round of funding, we’re focusing on food-contact applications and materials that align with how India and the world eat. The challenge isn’t intent — it’s access to the right materials. Partnerships like these help us scale responsibly across food and consumer supply chains.”
A $560 Billion Opportunity in Sustainable Packaging
The global packaging market, estimated at over $1.1 trillion, is undergoing a rapid shift toward sustainability. A $290 billion subsegment is already transitioning away from conventional plastics and is expected to grow to $530–560 billion by 2030, driven by tightening global regulations, ESG mandates, and consumer demand for eco-friendly alternatives.
Zerocircle’s materials are designed for high-volume packaging segments where existing solutions such as polyethylene (PE) and polylactic acid (PLA) struggle with recyclability and compliance challenges. These categories include:
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Foodservice and QSR packaging
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Coated paper and board
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Hot and cold beverage cups
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Grease-resistant food wraps
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Biopolymer pellets for industrial use
Backing from Industry Leaders
“Everyday food packaging items, like coffee cups or takeaway boxes, contain a thin layer of plastic coating that pollutes both the environment and our bodies with microplastics,” said Nithin Kamath, Founder and CEO of Zerodha.
“Sustainable packaging is no longer optional — it’s necessary, especially as alternatives like Zerocircle reach price parity with fossil-based plastics. Zerocircle’s 100% natural coatings eliminate the need for plastic use entirely, and we’re excited to back them again.”
“At 3one4 Capital, we invest in companies solving foundational global challenges through science and innovation,” said Nruthya Madappa, Partner, 3one4 Capital.
“Zerocircle sits at the intersection of deeptech and meaningful impact, applying material innovation to a global and urgent problem. We’re proud to support the team as they build a category-leading plastic alternatives platform.”
Regulatory Edge: Certified 100% Plastic-Free
Zerocircle has achieved a rare regulatory milestone, becoming the only materials company in Asia certified as 100% plastic-free under the European Union’s Single-Use Plastics Directive (SUPD).
This certification — one of the world’s strictest anti-plastic regulations — confirms that Zerocircle’s materials contain no plastic or synthetic compounds capable of releasing microplastics.
Scaling Global Deployments and Pilots
In the past year, Zerocircle has replaced over 1.6 million plastic food containers, with commercial deployments across India, the Netherlands, and the Benelux region of Europe.
The company is scaling rapidly across Europe, the UK, Oceania, and India, partnering with distributors, converters, and foodservice companies to integrate its materials into high-volume applications such as coated paper, trays, and wraps.
Its growth has also been supported by pilot collaborations with Zomato and Swiggy, where plastic-free seaweed-coated containers were tested across restaurants in Mumbai, Bengaluru, and New Delhi.
These pilots demonstrated that high-volume food delivery can transition away from plastic-lined packaging while maintaining performance and durability.
Looking ahead, Zerocircle is targeting large coffee chains and paper converters, sectors that operate at massive volumes and require robust water and grease-resistant materials.
The company is also preparing to launch a new portfolio of barrier coatings, including water-resistant paperboards, heat-sealable coatings for cutlery pouches, and coated low-GSM paper for wraps and liners.
About Zerocircle
Founded in 2020 by Neha Jain, Zerocircle is a Pune-based materials science company pioneering seaweed-based, biodegradable alternatives to plastic packaging. The company focuses on building scalable, plastic-free solutions for the global foodservice and consumer goods industries — helping businesses transition to sustainable, compostable materials at price parity with traditional plastics.
Ruchi Kumar is the associate editor at Entrepreneur News Network and TVW News India, where she leads editorial strategy, brand storytelling, and startup ecosystem coverage. With a strong focus on innovation, business, and marketing insights, he curates impactful narratives that spotlight India’s evolving entrepreneurial landscape.