India may begin introducing polymer (plastic) currency notes in Rs 10 and Rs 20 denominations from next year, as the Reserve Bank of India (RBI) has initiated preparations for a pilot project by inviting global suppliers to participate in the first phase.
According to official sources cited by ANI and Dainik Bhaskar, the RBI plans to start the pilot with Rs 10 and Rs 20 notes. A decision on expanding the initiative will depend on the results of field trials. If the pilot proves successful, a nationwide rollout could begin in 2027, according to the report.
As part of the process, the RBI's currency-printing subsidiary, Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL), has issued a Global Expression of Interest (EOI) inviting manufacturers to supply opacified polymer substrate sheets embedded with security features for printing Indian banknotes.
The EOI seeks an estimated 68,000 reams of Biaxially Oriented Polypropylene (BOPP)-based polymer substrate, with 34,000 reams allocated for each of the two proposed denominations. Each ream contains 500 sheets. The substrate is required to incorporate advanced security features, including a transparent window with a portrait, metallic numerals, a magnetic pseudo thread, a shadow image, and an iridescent pattern. These materials must be compatible with printing presses operated by BRBNMPL and the Security Printing and Minting Corporation of India (SPMCIL).
According to The Indian Express, the global tender marks the beginning of the RBI's planned trial of polymer banknotes. The deadline for submitting bids is August 18.
The tender document states that the current procurement is intended only for the initial requirement. If the field trials are successful, larger orders covering additional denominations are expected to follow.
The procurement process also includes strict security requirements. As reported by ANI and The Indian Express, participating companies must ensure that any operations in China or Pakistan are completely isolated from work related to the Indian project. They must not source raw materials from either country or deploy personnel who have previously worked in China or Pakistan for the assignment. Additionally, companies from countries sharing a land border with India must be registered with the Department for Promotion of Industry and Internal Trade (DPIIT) Registration Committee to qualify.
Eligible bidders must have at least three years of experience supplying polymer substrates with security features to a central bank or banknote-printing organisation. They must also be capable of supplying at least 20,400 reams, equivalent to 30 per cent of the estimated requirement. Applicants are further required to submit polymer sheet samples for laboratory testing and certify that the material contains no animal tallow or DNA.
The RBI has not officially confirmed which denominations will be included in the pilot project. However, following the June monetary policy meeting, RBI Governor Sanjay Malhotra said that the proposal for polymer banknotes was under consideration and that the central bank was evaluating its benefits and feasibility before making a final decision.
Polymer banknotes were first introduced in Australia in 1988 and are now used in more than 50 countries. Compared with traditional paper notes, they are more durable, offer better protection against counterfeiting, last longer in circulation, and could help reduce long-term printing costs and environmental impact.
