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Bihar: Rural India’s First Startup ‘Kabad Mandi’ Helps Siwan Residents Earn from Household Waste

Digital scrap model emerging as a rural income and recycling success story
Bihar: Rural India’s First Startup ‘Kabad Mandi’ Helps Siwan Residents Earn from Household Waste
Indian Masterminds Stories

Patna: In a unique rural innovation from Bihar, residents of Siwan are now earning money by selling household waste through ‘Kabad Mandi’, a startup described as rural India’s first digital scrap marketplace.

The initiative converts recyclable waste into income opportunities while simultaneously strengthening village-level cleanliness and environmental sustainability.

The startup has been registered under Startup India as Asraj Scrap Solution Private Limited and has already expanded district-wide within just 18 months.

Initiative led by village head Amit Singh

The project was initiated by Amit Singh, the Mukhiya of Khalwan Gram Panchayat in Nautan block.

Read Also: Bihar Launches FCM Therapy Initiative to Fight Anemia; Mangal Pandey Says State Leads Nation in Medicine Delivery

He designed the model to ensure that villagers could directly monetise recyclable waste generated at home through a digital platform.

His idea combines:

  • waste collection
  • digital payments
  • recycling
  • rural employment
  • product manufacturing

App-based waste collection from households

Through the mobile application developed for the startup, villagers can enter details such as:

  • type of waste
  • quantity
  • preferred collection time
  • collection date

The collection team reaches households at the scheduled time, weighs the waste, and pays residents immediately based on category and quantity.

Rates fixed for different recyclable materials

According to the startup model:

  • plastic bottles are purchased at ₹15 per kg
  • black plastic at ₹2 per kg
  • mixed white plastic at ₹5 per kg
  • tin at ₹10 per kg

This has encouraged households to segregate waste before disposal.

1.25 tons waste collected every month in Siwan

Currently, approximately 1.25 tons of recyclable waste is collected every month across Siwan district.

The project has significantly reduced open dumping and strengthened village sanitation systems.

Waste processed into useful long-life products

Collected waste is processed at:

  • Plastic Waste Management Unit (PWMU)
  • Waste Processing Unit (WPU)

After recycling, plastic is converted into products such as:

  • washbasins
  • park benches
  • dustbins
  • fencing
  • school benches
  • flower pots
  • cupboards
  • portable toilets

40 kg plastic to make one washbasin

The startup plans include:

  • 40 kg plastic for one 3-foot washbasin
  • 75 kg plastic for one park bench
  • 35 kg for dustbins and other utility products

These products are expected to last nearly 15 years.

22 people employed with salary, insurance and medical support

The project currently employs 22 people.

Each worker receives:

  • monthly salary above ₹12,000
  • medical support
  • insurance cover of ₹7 lakh

This makes the model both an environmental and employment initiative.

Expansion now reaches Gopalganj

Following success in Siwan, the startup has signed an MoU with Gopalganj for expansion.

The model is now being viewed as a replicable rural enterprise for other districts.

Recycled plastic supplied to major organisations

The startup has established supply partnerships with organisations in:

  • Haridwar
  • Punjab
  • Coca-Cola operations in Varanasi

Plastic waste generated during weddings and social events is also processed.

Road construction use planned next

Processed plastic waste may soon be sold for road construction, opening additional revenue channels.

Inspired by Swachh Bharat and Lohia Swachh Bihar campaigns

The initiative draws inspiration from:

  • Swachh Bharat Mission
  • Lohia Swachh Bihar Abhiyan

A model for rural India’s circular economy

The Siwan model is increasingly being seen as a practical example of how rural India can convert waste into:

  • livelihood
  • local industry
  • environmental protection
  • circular economy growth

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