Smoke from the smoldering pile of trash is a strange contrast to the crystal-clear waters where skin-divers hand-feed fish and tourists from all over the world frolic on the powder white sandy beaches that define Boracay as one of the most sought after destinations in the country.

But garbage is just one of several problems the 1,002-hectare (2,474-acre) island in the central Philippines will have to deal with if it wants to retain its image as an idyllic getaway for both Filipinos and foreigners.

The dump, on land leased from a local resident, was originally due to close by the end of June in favour of a landfill on the nearby larger island of Panay but local residents and districts in Panay have blocked the opening of the landfill, Boracay Mayor Ciceron Cawaling says.

So the Boracay garbage dump remains in operation handling about seven to 10 tonnes of garbage produced on the island daily, according to the Boracay Chamber of Commerce and Industry.

Manuel de Dios, the municipality's environment management specialist, said the garbage dump may be unsightly "but there is no health risk", as the site is far from the beachwaters or from residential areas and has no toxic content.

Most of it consists of food waste and the excess material from construction sites. Ironically, the flotsam of seaweeds and debris that resort owners sweep up every morning to keep the beaches pristine, only increases the amount of garbage to be collected, he remarks.

Paul Henares, who is working on a garbage management program with the Boracay chamber says the biggest problem is caused by plastic bags and straws and cellophane scrap which are neither recyclable nor biodegradable.

At the most scenic dumpsite in the Philippines, dump trucks unload garbage collected from homes, resorts and restaurants in Boracay, while a bulldozer shoves the trash into smaller piles.

The island does practice some form of garbage segregation with biodegradable materials collected almost daily while other items are collected once a week.

Poverty has also given rise to a rough form of environmentalism as garbage collectors gather up the plastic bottles, aluminum cans and other recyclable trash that they sell to junk dealers.

"We are employees of the town but this is our sideline because our pay is too low," remarks Macario Bunyagas as he sifts through the trash.

When the garbage collectors are finished about 20 "scavengers" go through the trash, looking for anything they can still sell or use -- even uneaten food which they can feed to their pigs, the garbage collectors say.

-- Water scare lost tourists --

Boracay, located about 300 kilometers (185 miles) south of Manila, has capitalized on its crystal-clear waters and powder-white sands to attract tourists from all over the world.

On the island's famed "white beach", swanky hotels sit beside bargain pension houses. Ambulant vendors offer South Seas pearls, massages and hair-braiding services to strollers.

Veiled Muslim women hawk T-shirts to half-naked Westerners as a variety of restaurants offer everything from the South Beach Diet to oversized hamburgers to Thai, Mexican, Korean, Italian, Japanese and Indian cuisine.

But it has had a bruising encounter with environmental problems before.

In 1997, then-environment secretary Horacio Ramos publicly stated that improper sewage disposal had caused the spread of the coliform virus in the waters of Boracay, even comparing the beaches to an open septic tank.

Tourist arrivals to the island plunged by as much as 70 percent. To repair the frayed image of Boracay, top officials, including then-president Fidel Ramos took turns swimming in the beachwaters to demonstrate that they were safe for the public.

But the brouhaha had a silver lining when Japan provided financing that allowed Boracay to set up a proper sewerage system complete with a treatment plant.

The national and local governments, the Boracay business community and potential foreign donors are looking at ways to address Boracay's rubbish problems before they get out of hand.

The Boracay chamber is proposing to implement a scheme where trash will be segregated on the island with recyclable waste sold to junk dealers while biodegradable waste will be composted to be made into organic fertilizer.

Henares says his group is ready to launch an information campaign to teach residents about the importance of segregating and minimizing their garbage.

Tourist arrivals on the island however continue to rise despite the reports of accumulating garbage and overcrowding. About 458,000 visited in 2004, up from 339,000 in 2003 and officials are hopeful that tourist arrivals will hit the half-a-million mark this year.

Improvements in the transport system have made the island more accessible to the public, allowing middle-class Filipinos to drop by Boracay for a weekend.

Aside from garbage, the mayor says Boracay will have to deal with other problems connected with rapid growth like widening its narrow roads, building more access roads and walkways leading to the beach, installing more street lights and improving and telecommunications infrastructure.

Henares says that garbage collection fees may have to be increased, remarking that business establishments are largely the only ones who pay the fees. Public hearings are being held on whether residents should pay the fees as well.

Cawaling, who despite problems on Panay hopes to start shipping trash from the island in August, also says that visitors may also be charged an "environmental fee or tax that will go only to the environment and sanitation".

Despite diverse interests, including disputes over land ownership, the island can unite to protect its crucial tourist industry.

Cawaling recalls that when Muslim extremists began raiding resorts in the Philippines, looking for tourists to kidnap, all sectors in Boracay cooperated to swiftly set up a security system to prevent such depredations.

The police, military and local government joined forces with the resort owners and diving and boating shops who volunteered their equipment if necessary.

"If something happens, these groups, led by the police, will move to swiftly maintain peace and order," says Cawaling. Speedboats and jet-skis, normally used for recreation, will join any pursuit, he says.

So far, this system has been used only once -- to rescue a Taiwanese vacationer whose kayak got washed out to sea.