In 2020, when most conversations around sustainable packaging in India were still focused on recycling and compostable plastics, a Pune-based startup called Zerocircle began working on a different idea: replacing plastic itself with materials derived from seaweed.
The company develops coatings and packaging materials made from marine biomass, aiming to reduce the use of petroleum-based plastics in food packaging and other consumer applications.
The company was founded by Neha Jain, a former Google employee who left her technology career to work on alternatives to conventional plastic packaging. Neha Jain became interested in the economics and environmental limitations of recycling and began researching seaweed as a raw material that could potentially replace thin-film plastics and plastic-coated packaging.
Unlike many packaging startups that focus on biodegradable plastics made from corn starch or sugarcane, Zerocircle’s work centers on seaweed-derived polymers. The company argues that seaweed offers advantages because it grows rapidly, does not require agricultural land, freshwater, or fertilizers, and can be cultivated in marine environments.
The company initially spent its early years developing materials in the laboratory and testing commercial applications.
In January 2025, Zerocircle raised approximately $2.3 million in seed funding. The round was led by Rainmatter, the investment arm backed by Zerodha co-founder Nithin Kamath. Other participants included 1Crowd, Trousdale Sarosphere LLC, VC Grid, 7th Gen Ventures, Spectrum Impact, LNB Group, and environmental advocate Trudie Styler, who is also known as a co-founder of the Rainforest Fund. The funding was intended to expand manufacturing capacity and strengthen the company’s team.
A year later, in early 2026, the company announced an additional ₹5 crore pre-Series A round co-led by 3one4 Capital and Rainmatter Capital.
What Zerocircle actually sells is not simply “seaweed packaging.” The company develops coatings and material layers that can replace the plastic coatings commonly used on paper-based food packaging. Many takeaway boxes, burger cartons, bakery containers, and disposable food-service products appear to be paper, but often contain thin plastic layers or chemical coatings that provide resistance against grease, moisture, and heat. These layers make recycling difficult and can introduce microplastics into the environment.
Zerocircle’s solution uses seaweed-derived materials to create barrier coatings that provide similar protection against oil and moisture without relying on fossil-fuel-based plastics or PFAS chemicals. According to the company, the coatings can be processed using existing converting and printing infrastructure, allowing packaging manufacturers to adopt them without replacing their machinery.
The company has also explored thin-film packaging applications. Earlier interviews of founder Neha Jain described work on seaweed-derived films that could be used for bags, food packaging, and flexible packaging applications. The company has stated that these materials are designed to break down naturally without leaving microplastic residues.
Commercial deployment has become a major focus over the last two years. Zerocircle’s public case studies provide some of the clearest evidence of market adoption. One of its most visible collaborations involved food-delivery platforms.
Internationally, Zerocircle has established a partnership with Dutch distributor Eco-Dispo. According to the company’s published case study, more than 1.5 million seaweed-coated takeaway boxes had already been sold in the Netherlands, with a target of reaching 2 million units by 2026. The deployment focuses on food-service packaging for restaurants, cafés, and food brands across the Benelux region.
The broader market for alternative packaging is becoming increasingly crowded. Companies such as Notpla in the United Kingdom have developed seaweed-based packaging films and edible sachets. Indonesia’s Evoware has also worked on seaweed packaging products. Other startups are exploring different biological materials altogether. Ecovative in the United States develops packaging from mycelium, the root structure of fungi. Footprint focuses on molded-fiber packaging, while Sulapac in Finland develops bio-based materials designed to replace plastic in consumer products. These companies differ in material science approaches, but all target the same problem: reducing dependence on fossil-fuel-derived packaging.
Globally, the alternative packaging sector has attracted significant attention because governments are tightening restrictions on single-use plastics and PFAS chemicals. Food packaging has become a particularly important category because it combines high consumption volumes with direct human exposure.
Companies are increasingly seeking materials that can provide oil resistance, moisture barriers, and shelf-life protection without introducing persistent synthetic chemicals. Seaweed-based materials have emerged as one branch of this effort because they can be cultivated relatively quickly and do not compete directly with agricultural food crops.
- Our correspondent
