(Junkshop Series - Article 2)

            The Vincentian Missionaries in 1998 started a development program for scavengers in a dumpsite near Quezon City. It involved long-term environmental development, housing, savings and credit programmes that helped fund micro-enterprises in the area. The project was a successful story of supporting families based on micro-enterprises. The paper, however, did not discuss the management accounting implemented in the program. This is an important aspect in improving the company's financial competitiveness.

            Varey et al. (2003) surveyed junkshops in Metro Manila. They found that the shops can be categorized as concrete (permanent) and light (temporary). They uncovered that many junkshops that were unregistered were near dumpsites. The lack of standard regulation contributed to the structural, environmental, safety and operation. Other illegal practices included were employment of minors and non-following of minimum wage. The improper handling of wastes was under the responsibility of the local government units. The survey proved that junkshop and scrap trading business was profitable.

            Also in 2003, Gonzales present the paper entitled, "From Wastes to Assets: The Scavengers of Payatas" during the International Conference on Natural Assets. He highlighted the work of the Vincentian Missionaries in Payatas that changed the scavengers into entrepreneurs. He elaborated the profits derived from the junkshop and scrap trading and how the Ecological Solid Waste Management Law was successfully integrated into the business. The paper concluded that recycling is not only for environmental protection but can also be a poverty reduction tool.

            Recycling helps minimize the use of raw materials and increase value of the scrap wastes (Conitreau et al., 1984 Beed & Bloom, 1995). It is also a means job creation and income generation, especially in the low-income groups (Muller, 2002).

            The junkshop's increasing importance in effective solid waste management (Hetz, Paul, Alfaro & Lemke, 2011) and the scrap trading's growing economic contribution call for a serious attention from the government.  Substantial support of the government for these enterprises is the first step in bridging the gap and enhancing the competitiveness of junkshops.