Loop Industries (LOOP) and Taro Plast said late Tuesday they entered an offtake agreement under which Loop will supply Taro with dimethyl terephthalate made from recycled content at the Infinite Loop India facility.

The facility is expected to be operational in early 2028 via a joint venture with Ester Industries, according to a statement.

Taro will use the dimethyl terephthalate to create recycled materials for the automotive and specialty polymer industries, according to the companies.

Financial details were not disclosed.