In a significant boost to India’s sustainable materials ecosystem, UKHI, an IP-led biopolymer and sustainable packaging startup, has raised ₹10.5 crore (approximately $1.27 million) in its seed funding round. The round was led by Venture Catalysts, with participation from 100 Unicorns, 888 VC, and DCG Pack. The fresh capital signals growing investor confidence in India’s climate-tech and sustainable manufacturing space.
Founded in 2019 by Vishal Vivek, Priyanka Chauhan, and Sandeep Kumar Tyagi, UKHI is focused on developing high-performance, biodegradable alternatives to conventional plastics. The startup operates at the intersection of material science and sustainability, aiming to address one of the most urgent environmental challenges — plastic pollution.
The funds raised will be utilised primarily to scale the production of the company’s flagship product, EcoGran, expand its intellectual property portfolio, and strengthen research and development capabilities. The company also plans to deepen partnerships across the packaging value chain to accelerate commercial adoption.
EcoGran: A Sustainable Alternative to Plastic
UKHI’s core offering, EcoGran, is a patent-pending biopolymer material developed using agricultural residues and lignocellulosic biomass. Instead of relying on petroleum-based raw materials, the startup utilises farm waste such as rice stubble, hemp stalks, flax, and other agricultural byproducts. This approach not only reduces plastic dependency but also creates additional income streams for farmers.
The company claims that its materials are biodegradable, compostable, and cost-competitive with conventional plastics, making them commercially viable for large-scale use. Unlike some eco-friendly alternatives that compromise on durability or scalability, UKHI’s solution focuses on maintaining performance standards suitable for industries such as FMCG, food packaging, cosmetics, and retail.
In a short span, the startup has already supplied over two lakh kilograms of biomaterial to early customers. It also reports a strong trial-to-commercial conversion rate of over 90%, reflecting healthy product-market fit and increasing industry acceptance of sustainable packaging solutions.
Riding the Sustainability Wave in India
India’s growing regulatory push against single-use plastics, along with rising ESG commitments from corporates, has created favourable conditions for startups like UKHI. As brands actively look for sustainable supply chain solutions, demand for biodegradable and compostable materials is rising sharply.
UKHI’s model also supports the circular economy by converting agricultural waste into valuable industrial inputs. This not only reduces environmental damage caused by stubble burning but also aligns with national sustainability goals. With environmental awareness increasing among both businesses and consumers, eco-conscious packaging is no longer a niche segment but a mainstream requirement.
Growth Plans and Market Expansion
With the fresh seed funding, UKHI is expected to expand its manufacturing capacity and accelerate market penetration. The company aims to replace up to 24 lakh kilograms of single-use plastic in the near future, marking a significant step toward reducing carbon footprint and plastic waste.
The leadership team believes that combining material science innovation with scalable manufacturing will help the startup become a key player in India’s sustainable materials segment. Backed by prominent investors and growing customer traction, UKHI is positioning itself as a serious contender in the clean-tech and green packaging space.
As climate conversations gain urgency across India and globally, startups like UKHI highlight how innovation can drive both commercial success and environmental impact. The seed funding round marks an important milestone in the company’s journey, setting the stage for larger scale operations and deeper industry partnerships in the years ahead.