Solid Waste Management and Recycling

(Rick Simeone) #1
TRADE AND RECYCLING OF INORGANIC SOLID WASTE IN HYDERABAD 143

come from a rural background in Andhra Pradesh, migrating to Hyderabad in search
of work. The seasonal itinerant buyers migrate back and forth to the rural areas, and
only work in ‘buying waste’ when there is no work in the rural areas.


The itinerant waste buyers usually own bicycles, which are their means of transport
when canvassing areas to purchase and transport the wastes. They generally work for
10 to 11 hours per day on average, within a 10 km radius from their place of residence.
They collect waste for six days in a week and rest on Sunday. During the rainy season,
they only work for 3 to 4 hours, and their income declines drastically (see table
appendix). In order to smooth out the fluctuations in income, they resort to borrowing
and repay the loans during the peak season. Itinerant buyers run health risks during
their work. They complain of headaches, cuts by sharp objects, skin ailments, and
aches and pains.


The itinerant waste buyer purchases all types of waste and does not specialize, as none
of the waste is available in adequate quantities. They sell the waste on the day it is
collected. They sort out the waste at the trader’s place before selling it to him. Hence,
no storage and sorting costs are involved. Therefore, the only cost the itinerant buyer
has is the bicycle he uses, and the rest of the value of the waste is income.


Itinerant buyers working all year round in the business generally have enduring ties
with their retail traders (77 percent of the traders interviewed). There are two ways in
which these ties are reflected. In the first, the trader gives interest-free loans and
provides working capital on a daily basis. The working capital provided in the
morning is deducted daily in the evening from the payment made to the itinerant
buyers for the waste sold to the trader. The loans provided to them can go up to Rs
5,000 at a time. That amount has to be repaid in two installments, with accounts settled
on Diwali (annual festival). The itinerant buyers also receive annual gifts from their
traders on Diwali. The second way of promoting enduring ties is to provide only
interest free loans, with similar repayment schedules as in the first method. These
methods require the itinerant waste buyer to sell their waste to one trader only, for a
long time.


Seasonal itinerant buyers generally take neither interest-free loans nor daily working
capital (23 percent of the traders). They can sell their waste to any trader they like. The
tied method is beneficial to the itinerant waste buyers for obtaining interest free loans
and working capital, reducing costs and providing a minimum of financial security
against sudden calamities. It is beneficial to the traders in ensuring continuity of
supply of materials for selling.


The average level of income per week for all itinerant traders was around Rs 1,223. in



  1. It varied between traders with enduring ties with their retail traders, who earned
    Rs 1,152 and those with no such ties, who earned Rs 1,456. The variations in income

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