The Recycling Sector
The recycling sector is structured in the form of a pyramid, with the scrap collectors at the base and the re-processors perched at the apex. At the bottom of the heap are the waste-pickers that engage in the “free” collection of scrap from municipal garbage bins and dumps. Marginally above them are the itinerant buyers who purchase small quantities of scrap from households. Between the scrap collectors and the re-processors are various levels of traders including retailers, stockists and wholesalers, most of who are registered under the Shops and Establishments Act, 1948. The crème de la crème among them are the Registered Dealers. The re-processors are in a class by themselves. The activity levels of this pyramid differ in terms of the factors mediating entry, socio-economic backgrounds, work conditions, market environment and levels of income.
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Scrap collection is the first stage in the recycling sector. It is undertaken by two categories of workers, the waste-pickers and the itinerant buyers. Waste-pickers retrieve paper, plastic, metal and glass scrap from garbage bins or receptacles that are provided by the municipalities for the disposal of garbage on the street, and from landfill sites where the collected garbage is transported and dumped. Itinerant buyers purchase small quantities of scrap from households, offices, shops and other small commercial establishments. There are two types of itinerant buyers differentiated on the basis of gender and their tools of trade. All categories of scrap collectors do rudimentary sorting and then sell the collected scrap commodities to retail scrap establishments by weight or unit.
The retail traders form the cutting edge level of the scrap trade. Most often they are located in slums with significant populations of scrap collectors. They have a direct relationship with the scrap collectors from whom they purchase scrap. Stocking is the first level of wholesale trade. Stockists are always also retail traders. Then there are the wholesale traders who specialize in certain commodities.
The retail traders form the cutting edge level of the scrap trade. Most often they are located in slums with significant populations of scrap collectors. They have a direct relationship with the scrap collectors from whom they purchase scrap. Stocking is the first level of wholesale trade. Stockists are always also retail traders. Then there are the wholesale traders who specialize in certain commodities.
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