This Indian start-up pays you for your used cigarette butts
What's the story
If you are a smoker, collecting used cigarette butts might make you some money.
Noida-based Code Enterprises LLP pays Rs. 250 for a kilo of cigarette waste.
It's the brainchild of two friends Naman Gupta (23) and Vishal Kanet (28), who recycle/reuse cigarette leftovers to create attractive marketable products.
Their firm is great for the environment, and your pocket.
Know more!
Starting out
How it all began
Naman was still a B.Com student at Delhi University and Vishal a professional photographer employed with Carnival Cruise Lines in the US when they began work on formulating the most viable chemical process to clean and recycle the polymer used in cigarette butts - Cellulose Acetate.
Once they found a reliable method, they launched Code Enterprise LLP in July 2016.
Scaling Up
Paying vendors, smokers money in exchange for cigarette butts
Wanting to better manage cigarette waste in India, they started with Delhi-NCR.
For promotion, they used social media, distributed pamphlets and visited cigarette vendors, with whom they struck a deal - they would provide them VBins (exclusive trash cans for cigarettes) + cleaning services at Rs. 99 for three months and pay them Rs. 250/kilo for cigarette leftovers.
Data
Rate revised in 2017 for some states
Of the 20 Indian states that Code Enterprises operates in, the rate is the same, Rs. 200 for every kilo of cigarette butts. However, starting June 1, 2017, the rates have been revised at Rs. 250/kilo for Delhi, Gujarat, Haryana, Uttar Pradesh and Telangana.
Challenges
Bins would get stolen, never be used
But the start of journey was not without challenges. Their bins would get stolen, many would never be used.
Undeterred, they stuck with the vendors who trusted them and visited them every fortnight to get their raw material.
"They not only got paid for waste, but also got free cleaning services from us," Naman told YourStory.
Do you know?
What do they make?
Using leftover tobacco, Code Enterprises LLP manufactures organic compost powder and recycled polymer, with which it makes wide-ranging products including cushions, garlands, stuffed toys, accessories, key chains and the paper covering for plantations/nurseries.
Success
They have recycled over four tons of cigarette waste
Once they started building credibility and thanks to media coverage, companies outside NCR began approaching them. Today, they have 60 associates in 100 districts across 20 states, who work on a contractual basis and manage/supply cigarette waste from their regions.
Getting 300-400kg cigarette butts each month, primarily through Indian Railway's parcel service, they have recycled more than four tons of cigarette waste so far.
Information
The enterprise generates income for over 5,000 people
The 10,000 VBins installed across India generate income for over 5,000 people including vendors, offices, smokers and rag pickers. Naman and Vishal oversee business operations. Their Noida recycling unit, managed by two other employees, makes 15-20kg organic compost powder and as much recycled polymer.
Future
Plans to expand, diversify and turn profitable in two years
Though currently financed by their families, Naman and Vishal aim to turn profitable by 2020.
Recycled polymer has high filtering properties and heat resistance, which can also be used to manufacture air-purification systems for kitchen chimneys. Aiming to expand and diversify, the duo is working on it.
Moreover, the manufacturing cost of their products is lesser than their competitors, giving them a competitive edge.