Recycling Economy Empowers Thousands Across Bangladesh

Recycling in Bangladesh is no longer just about waste management — it has become a powerful driver of livelihoods, poverty reduction, and sustainable economic growth.

Experts believe that with the right investments and policy support, the sector could generate secure employment for millions, while advancing the country's green transition.

The recycling industry is rapidly evolving into a major source of income, especially for low-income and marginalised communities. Amid rising urban waste and environmental concerns, it presents both an ecological solution and an economic opportunity.

Currently, the sector employs over 700,000 people, many of them in the informal waste collection network — waste pickers, sorters, and aggregators. In urban centres such as Dhaka, Chattogram, and Khulna, waste pickers earn daily incomes by collecting recyclable materials like plastic, paper, and metal, selling them to centres or middlemen. For many, this is their primary livelihood.

A study by the Bangladesh Waste Management Foundation found that individual waste collectors earn between Tk 300 to 800 per day, supporting families who might otherwise face unemployment.

Small and medium enterprises (SMEs) in the sector are flourishing. In areas like Narayanganj and Gazipur, plastic shredding units, paper mills, and textile recycling plants provide jobs to thousands — from machine operators and sorters to supervisors and transporters.

“Before joining a recycling plant, I was a day labourer with no job security. Now I earn Tk 12,000 per month and get paid regularly,” said Anwara Begum, a textile recycling worker in Gazipur.

As the world’s second-largest garment exporter, Bangladesh generates substantial textile waste. The rise of circular fashion and green recycling plants is spurring new roles in sorting, fabric regeneration, and chemical recycling. Startups and foreign investors are collaborating to upcycle garment waste, unlocking employment potential.

The Circular Apparel Innovation Hub, for instance, aims to create over 50,000 new jobs by 2030, mostly for women, through scalable textile recycling technologies.

In Dhaka, “kachra collection points” or sorting hubs are emerging as employment hotspots. These centres link informal collectors with larger facilities and create jobs in sorting, baling, loading, transporting, and basic accounting. Areas like Mirpur, Jatrabari, and Mohammadpur are seeing steady job growth for low-skilled workers.

“Before this job, I worked irregularly in homes. Now I come to the centre every morning and get paid weekly,” said Rina Akter, a waste sorter in Mirpur.

Primary Collection Service Providers (PCSPs) operate across all wards under the Dhaka North and South City Corporations, helping to formalise waste management systems.

“I collect recyclable sacks from households and deliver them to the centre. It’s tough work, but it pays my rent and my kids’ school fees,” said Mizanur Rahman, a transporter in Mohammadpur.

Despite its contributions, the informal sector remains vulnerable. Workers often lack protective equipment, job security, and health benefits. Experts argue that policy reforms, training programmes, and access to microfinance could improve safety and earnings.

“Formalising informal waste work through cooperatives and municipal partnerships can increase incomes by 25% or more,” said Dr. Salma Akter, a waste management specialist.

In a positive move toward sustainable urban planning, Rajdhani Unnayan Kartripakkha (Rajuk) is implementing waste-free infrastructure in projects like Purbachal, Uttara, and Jhilmil. These projects rely on modern sewerage and transfer stations instead of open dumping.

Rajuk officials emphasise treating waste management as a business opportunity, making it more economically viable.

Innovations are emerging nationwide. In Sakhipur, Tangail, a BUET student has built a compact plant processing household and human waste into compost for agriculture. In Jamalpur, local innovator Toufiqul Rahman produces fuel from single-use plastics through a high-heat technique. This “polyfuel” initiative, now government-approved, will expand to all 64 districts.

To reduce industrial pollution, Effluent Treatment Plants (ETPs) are now mandatory for specific sectors, with oversight by government officials. While this may raise production costs slightly, authorities stress that protecting the environment must take priority.

As Bangladesh continues to urbanise and industrialise, its growing recycling industry offers a compelling model of inclusive, sustainable development — turning waste into a national asset.