Unlocking Economic Potential: Establishing Price Ranges for Recyclable Materials to Encourage Informal Garbage Pickers

In the dynamic landscape of waste management, the role of informal garbage pickers emerges as a crucial force in the recovery of recyclable materials. These unsung heroes navigate through various levels of waste sorting, with the first level being particularly significant. At this stage, the recovery of high-quality recyclables occurs directly at the source—generators' homes. The materials obtained encompass a spectrum, ranging from glass bottles, PET bottles, and aluminum cans to carton boxes and paper. This initial recovery operation involves the active participation of helpers in high-income residences and household owners or occupants in medium and low-income areas.

However, the output of this first-level segregation often remains unaccounted for in the official waste management records. The recovered recyclables face limitations, primarily in storage availability at households, commercial establishments, and institutions. Despite these challenges, a substantial portion of these materials finds its way into the informal sector, sold either directly to junkshops or through ambulant buyers.

The economic transactions within the informal sector are fueled by the allure of financial gains, albeit modest. The recovered recyclables, including large glass bottles and plastic jugs, are sold to junkshops where they undergo a secondary sorting process before being sent to consolidators and recyclers. The transactional nature of this system forms the backbone of the informal sector's involvement, emphasizing the economic viability of waste recovery.

One noteworthy aspect is the preferential treatment of certain recyclable materials over others. The 2020 Market Study for Philippines: Plastic Circularity Opportunities and Barriers sheds light on this preference, indicating a focus on materials like PET, PP, and HDPE over LDPE and LLDPE in municipal solid waste. This selectivity is mirrored in the buying practices of junkshops, as revealed by the typical buying price range showcased in Table 6.

Image credited to: World Bank. 2022. An Assessment of Municipal Solid Waste Plans, Collection, Recycling and Disposal of Metro Manila. Washington DC.

The price range for recyclables serves as a critical incentive for informal garbage pickers. Understanding the economic constraints faced by these individuals, the pricing dynamics play a pivotal role in motivating their engagement in waste recovery efforts. In Malabon, for instance, the floor area of junkshops ranges from 20 to 370 m2, highlighting the extensive network of these establishments.

Table 6 provides insights into the typical buying price range of recyclables in junkshops, showcasing the economic value assigned to different materials. This valuation, though modest, becomes the driving force behind the actions of informal waste pickers. The significance of these price ranges lies not only in the monetary compensation but also in the acknowledgment of the inherent value of recyclable materials.

In conclusion, establishing transparent and fair price ranges for recyclable materials is a strategic move to encourage and empower informal garbage pickers. By recognizing the economic contributions of these individuals and aligning price dynamics with the market value of recyclables, we can create a more sustainable and inclusive waste management system. This approach not only stimulates economic growth within the informal sector but also fosters a collaborative environment where all stakeholders work hand in hand towards a greener and economically vibrant future.

References:

An Assessment of Municipal Solid Waste Plans, Collection, Recycling and Disposal of Metro Manil. (n.d.). https://openknowledge.worldbank.org/entities/publication/36961b9e-179e-5885-ae70-4cf6f237c6ee/full. Retrieved January 8, 2023, from https://openknowledge.worldbank.org/