How 1 Bengaluru Startup Is Earning Rs 5.2 Crore While Tackling Plastic Waste in Food Packaging

You run a food business — whether it’s a café, cloud kitchen, or restaurant chain — and when it comes to packaging, a few things matter most: It should retain heat, not leak, and reach your customer intact.

That’s why plastic has become the go-to. It’s cheap, it works, and it’s everywhere.

But have you paused to consider the environmental cost of every plastic lid, bowl, and box you send out the door?

India generates an estimated 3.5 lakh tonnes of single-use plastic waste every year, a large chunk of which comes from the food and beverage sector. These containers, often used for just 20 minutes, can take hundreds of years to break down, clogging drains, piling up in landfills, and shedding microplastics into our soil and water.

But what if there was an alternative? One that’s just as tough, leak-proof, and heat-resistant, but also biodegrades within six months?

That’s where ‘Aecoz’, a Bengaluru-based startup, steps in. Founded in 2020 by siblings Dhanvita Sathyanand and Bharath Sathyanand, along with Dhanvita’s husband Srinidhi Rajaram, Aecoz creates durable, food-safe packaging made from paper, designed to replace single-use plastic without compromising on quality.

Their solution? 

Food-grade paper bowls, cups, boxes, and lids, made from ITC-sourced paper reels coated with a water-based barrier. This makes the packaging 98% biodegradable in 180 days, and fully degradable soon after — a claim verified by the Central Institute of Petrochemicals Engineering and Technology (CIPET).

Unlike regular paper, these containers can handle everything from boiling rasam and sambar to rich gravies. The team’s earliest test was with MTR, one of their first big clients. They filled the paper bowls with rasam and sent them on delivery runs called dogfooding. “It wasn’t just about holding liquid; it had to withstand the heat and retain its structure,” Srinidhi explains.

The product is manufactured in their Bengaluru facility using high-temperature forming machines that run at 350°C and crank out up to 45 units per minute. Available in sizes from 50 ml to 1000 ml, the packaging caters to both dine-in and delivery needs.

Supported by industry leaders

So far, Aecoz has produced over 4.5 crore units, working with major names like MTR, Lulu Hypermarkets, Magnolia Bakery, Milano Ice Creams, and even the Ritz-Carlton. In 2024 alone, the company clocked a revenue of Rs 5.2 crore, and they’ve already entered the UK market, where demand for sustainable packaging is higher.

But Aecoz is not just for high-end clients. “We’ve reduced our cost margin from 60% to 30%, so that smaller businesses can test the product,” says Bharath. Their 50 ml containers are now cheaper than their plastic counterparts.

For small restaurants, this isn’t just a shift in material, it’s a commitment to public health. “Plastic packaging can release microplastics into hot food. Studies link these to long-term health risks, including cancer,” warns Srinidhi, highlighting how this switch is also a healthier choice.

The startup believes that better policy enforcement, especially in cities like Bengaluru, along with awareness among food businesses, can significantly curb the plastic crisis. “Every restaurant, no matter the size, can be part of the solution,” says Dhanvita. “Even one switch in packaging is a step towards a cleaner future.”

As India grapples with the mountain of plastic it produces daily, durable and biodegradable packaging offers hope and a practical way forward. If you own a food business and are looking to reduce your waste footprint, this isn’t just a good idea. It’s a responsibility.

Edited by Vidya Gowri Venkatesh; All images courtesy Aecoz

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