Punjab and Haryana begin regional dialogue on low carbon packaging from crop residue

Governments, industry, farmers, and sustainability groups discuss circular supply chains for agri fibre pulp and paper in a first of its kind convening

Chandigarh, 4 February 2026: Punjab and Haryana convened their first regional dialogue to explore the development of circular, low carbon packaging supply chains using agricultural residue, bringing together government officials, industry representatives, farmer organisations, brands, and sustainability experts to assess the potential of agri fibre based pulp and paper solutions.
The roundtable, titled Building Circular, Low Carbon Supply Chains for Agri Fibre Pulp and Paper Packaging in Punjab and Haryana, was held at Hyatt Regency Chandigarh and was co presented by Asar and Canopy. The dialogue aimed to build a shared understanding of how crop residues such as paddy straw and wheat straw can be transformed into low impact packaging materials while addressing environmental and economic challenges.

Punjab and Haryana together generate over 35 million tonnes of crop residue annually. While a significant portion of this biomass is currently underutilised or burned, participants discussed how it could be repurposed as an industrial input to support clean air, reduce carbon emissions, and create additional income streams for farmers. The discussion positioned farmers as active partners in circular supply chains that extend beyond food production to sustainable materials.
Gurmeet Singh Khuddian, Hon’ble Minister for Agriculture and Farmers’ Welfare in the Punjab Government, said the state is consistently working toward sustainable crop residue management. He said such platforms help policymakers, industry, and farmers understand how residue can be used more effectively in value added industries while addressing environmental concerns and supporting farmer incomes. He added that India already has the technical capacity to produce pulp and paper from agricultural residue, and rising demand for sustainable packaging from e commerce, FMCG, and retail sectors creates an opportunity for regional economic growth and rural employment aligned with environmental priorities.

India currently produces around 1.5 million tonnes of pulp and paper from agri residue across 23 mills, demonstrating technical feasibility at scale. With growing interest in sustainable packaging, agri fibre based paper and corrugated solutions were discussed as a viable pathway for reducing dependence on forest based raw materials.
Shyam Singh Rana, Hon’ble Minister for Agriculture and Farmers’ Welfare in the Haryana Government, said Haryana’s industrial base provides a strong foundation for circular manufacturing. He said the dialogue helped stakeholders understand how crop residue could be integrated into low carbon packaging supply chains in ways that benefit both industry and the environment. He highlighted that Haryana has strong crop residue management policies, abundant feedstock, and established pulp and paper clusters in Yamuna Nagar and Panipat, along with emerging biofuel and industrial infrastructure.

Participants noted that Punjab’s feedstock availability and ex situ crop residue management policies complement Haryana’s industrial and processing strengths. Together, the two states were seen as well positioned to explore a regional circular bioeconomy model that connects farmers with processing industries and end markets, while addressing shared challenges such as stubble burning.
Vinuta Gopal, Chief Executive Officer of Asar, said crop residue should be viewed as a valuable resource rather than waste. She said the dialogue focused on understanding how Punjab and Haryana could unlock this potential in ways that benefit farmers, reduce pressure on forests, and support India’s transition to low carbon materials.

The discussion also identified key challenges requiring further assessment, including underutilised residue collection systems, limited participation of small and marginal farmers, weak linkages between collection and industrial use, and insufficient policy focus on packaging as a high value application of crop residue.
Shruti Singh, Country Director of Canopy, said forest based supply chains for paper, packaging, and textiles are facing increasing climate risks. She said crop residue offers a practical low carbon alternative for India and that bringing governments, mills, farmers, innovators, and brands together was a step toward understanding what is needed to scale agri residue based circular supply chains in the region.

Participants agreed on the need for continued engagement and discussed the possibility of forming a Punjab Haryana working group to assess infrastructure, policy, and investment requirements. The convening marked an initial step toward positioning crop residue as a resource for low carbon packaging and farmers as central partners in circular supply chains.

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