AI-Driven Marketplaces and Price Prediction Tools for Rag Pickers: Enhancing Economic Opportunities in Africa's Circular Economy

Abstract

This paper aims at identifying and analyzing the use of the AI solutions in enhancing the economic status of rag pickers within Africa’s circular economy sector and their access to markets. In this study, we explore how effectively the employment of AI technologies advances the welfare of the weaver people by identifying new potential methods of income generation and skill development in waste management techniques. Our research adopts a case study approach, examining the potential of two key AI applications: The resources include a marketplace that helps rag pickers find buyers for recyclable materials and price forecasting applications to aid selling. The role of such technologies in enhancing the efficiency of materials exchange, increasing or decreasing income, and improving rag pickers’ understanding of the market is discussed. The study entailed the creation and pilot testing of an AI marketplace that can be accessed through mobile phones; and market and price prediction algorithms generated through machine learning. Focus group discussion was performed with rag pickers and buyers to guide development and a pre-test was executed in three cities, Africa with 100 rag pickers and 20 buyers over a period of three months. Recognising the fact that the usage of independent AI Driven marketplaces along with AI Driven price prediction tools can have an enormous positive impact on the earning potential and position of rag pickers in the market. The study also reveals the African environ-specific factors which include, how to overcome the technological barriers and how everyone in the value chain can be given equal opportunity to access market information.