HomeNewsTyreHow To Start Waste Tyre Shredding Business 2022

How To Start Waste Tyre Shredding Business 2022

Waste Tyre Shredding Business

How about we tell you that we’ve got a business opportunity for you that involves making some good bucks but not by producing or manufacturing anything rather than shredding the already exciting product?
One of such businesses is the “Waste Tyre Shredding Business”. Did you know? Around 73,632 passenger vehicles were sold per day in India in 2018 and the tire production volume in India stood at 192 million units in FY 2019.
In fact, the Indian automobile industry sold over 3.4 million units of passenger cars and 21 million units of two-wheelers in 2021.
It’s a well-known fact that over one billion tyres are produced worldwide every year and an equal number of those are removed from vehicles, becoming waste and because they are non-biodegradable in nature they need to be recycled.
Tire recycling is yet another issue that requires to be dealt with. The “pyrolysis” method of tyre recycling is a thermal degradation process that causes the combustion of material and is leading to huge carbon emissions causing harmful exposure to the environment and leading to health issues.
That’s where you’d come in, by taking this tyre shredding business opportunity, helping your environment remain free of unnecessary pollution, on the cusp of hazardous emissions while making some business for yourself.

Read More: India Proposes Stricter Rules For Waste Tyre Recycling

Market Potential and Uses

Tyre Shredding is a process of shredding the tyres which are no longer required because of degradation in their quality, in particle size while separating most of their metals.
The market potential for the waste tyre shredding business is vast contributions to the applications which the shredded tyre provides across various sectors of the economy.
Keeping in mind the environmental constraints and the need for optimum utilization of resources, tyre recycling has become of major importance in India, that’s because.

  • 7% – waste tyres being recycled on site
  • 11%- burned for fuel
  • 5%- exported for processing someplace else than in India
  • 77%- illegally dumped, stockpiled or sent to landfills

In fact, it was in 2011 that India produced 90,000 metric tonnes of reclaimed rubber from tyre wastes. Further, the market potential for this tyre shredding business can be elaborated on the following basis:

On The Basis Of Tyre Shredding Methods Used

  • Ambient mechanical grinding: Tyre shredders, breaking tires into chips at an ambient temperature.
  • Cryogenic grinding: Grinding scrap tyres into granules near minus 80°C using liquid nitrogen.
  • Pyrolysis: Thermal decomposition of scrap tyres in the absence of oxygen into synthetic Gas and char.

On The Basis Of Uses Of Tyre Shredding

  • Can be used as a replacement for coal or coke in steel mills
  • As a foundation for race tracks, playgrounds, and garden beds
  • Used in road beds for minimizing vibration
  • Increasing the burning value of RDF(Refuse-derived-fuel)in incineration plants
  • Used by Asphalt companies to make the pavement cheaper
  • Used by tyre manufacturers to make new tyres by recycling the scrap through shredding
  • Used in civil engineering

Process Of Tyre Shredding

  • Collection of used or worn-out tyres
  • Whole tyre processing
  • Mechanical system
  • Cryogenic system
  • Steel liberation stage
  • Screening and milling stage
  • Cleaning stage

Licenses Required

The licenses required to run a tyre shredding business is

  • NOC by the state pollution control board
  • Trade license
  • GST registration
  • Factory license

Investment Required

The investment required to start up a tyre shredding business is ₹50 lakhs

Profits Made

The profits which one is likely to earn from this tyre shredding business is ₹9 lakhs per month

Target Consumers

The target consumers for the tyre shredding business is

  • Cement Industry: The cement industry would have an ample requirement of shredded tyres as they can be used as an alternative fuel to manufacture Portland cement, an important element in concrete.
  • Civil engineers: The shredded tyre is also required by the civil engineers having applications like back-fills for wall and bridge abutments, sun grade insulation for roads, landfills projects, subgrade fills and embankments, etc.
  • Asphalt industry: The asphalt industry makes use of shredded tyres for the purpose of carpet padding, flooring materials, icky bumper, patio decks, livestock mats, sidewalks, rubber tiles, railroad crossing blocks etc.
  • Steel mills: The steel mills also make use of shredded tyres as a source of carbon for the purpose of replacing coal or coke in steel manufacturing.
  • Tyre industry: The tyre manufacturers sometimes require shredded tyres for the purpose of producing recycled tyres.
  • Construction materials: various spaces and homes can be built with whole tires by filling them with earth and covering them with concrete.
  • Others: The shredded tyres are also used for the purpose of constructing basketball courts and as a raw material in manufacturing shoes.

Area required

The area required for a tyre shredding business is 700-1000 sq ft

Raw materials required

The raw materials required in this tyre shredding business are

  • Waste tyre
  • Waste plastic
  • Rubber
  • Oil sludge
  • Heating materials: charcoal, wood, fuel oil, LPG

Machinery required

The machinery required to start up a tyre shredding business is

  • Pyrolysis plant
  • Electric cable jacketing
  • Shredded
  • Heat isolators

Manpower required

The manpower required to set up this business is

  • 2-skilled workers
  • 3-unskilled workers

Moreover, ample training in terms of the following must also be provided with

  • Machine usage
  • Equipment handling
  • Safety and precautions

Business model and growth

The business model of a tyre shredding business can be defined using these four variants

1. Value proposition:

The value which this business is likely to provide to you is

  • Easily available raw materials
  • Multiple target consumer niches
  • Low operational work

2. Target consumers:

The target consumers for this business are as follows

  • Civil engineers
  • Construction industry
  • Cement industry
  • Shoe industry
  • Steel mills
  • Asphalt industry
  • Tyre industry

3. Competitor review:

The competitors for you in this tyre shredding business are as follows

  • Granutech Saturn
  • Biotic waste solution
  • Anjali Exim
  • SSJ
  • Goyum shredder

4. Marketing strategy:

The marketing strategy that can be implemented by your tire shredding business is

  • Advertising: Through billboards and hoardings
  • Print media: Through blogs, articles on tire recycling
  • PR: Tie-ups with tyre companies like MRF


The tyre shredding business has witnessed and has the potential for the following growth prospects.
The Indian tyre industry has doubled from ₹ 30,000 crores in 2010-2011 to ₹59,500 crores in 2017-2018 increasing tyre disposal and therefore the need for tyre shredding.

Profit margin

The profit margin that this tyre shredding business is likely to yield to you is 30%-40%.


Put their tyres into the shredders, not your decision to whether or not to take up this business and here’s why.

  • Firstly, the increased growth of the automotive industry calls for more disposal of tires which leads to tire recycling for the purpose of emptying the landfill for construction purposes in an environmentally acceptable manner.
  • Secondly, the raw materials required to set up this business are available in abundant quality and the demand for tire shredding for the purpose of recycling from global regions is also huge.
  • Lastly, the tie-ups with huge automotive companies are likely to let you prosper in terms of the expansion of your business.

If you want to share any article ideas, company news, and any information with us? So don’t hesitate to contact us: contact@newsrecycling.com

Article Source: startupyo

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