Manali Petrochemicals () and Econic Technologies on Monday announced that they have entered into a Memorandum of Understanding (MoU) for introducing a more environment friendly, CO2 containing polyols, into the $28 billion global polyols market.

“We are excited to begin working with the MPL team, the industry leader in India, to help them serve their vibrant and growing polyurethane market with sustainable CO2 containing polyols,” Keith Wiggins, CEO of Econic Technologies said.

MPL has signed a MoU with Econic Technologies to scale their catalyst technology which would enable substitution of fossil based raw materials with captured waste CO2 in the production of polyols. The partnership involves MPL and Econic collaborating to scale the technology at MPL’s pilot plant in India. On successful completion, this will be followed by the introduction of the process to one of the production trains in MPL’s main plant. The shared intent is to bring CO2-containing polyols to MPL’s customers.

“It’s an important step in the right direction. Sustainability of raw material supply and protecting the environment is critical for future generations,” Ashwin Muthiah, Chairman of AM International, Promoter Group said.