We propose a nonlinear mixed integer bi-level programming model for designing a reverse logistics network. The main goal for designing this network is to collect the End-of-Life (EOL) products and send them to the recycling centers in the supervision of the government. Essentially, the EOL products are purchased from the customer zones and collected into the collection centers by the government and will be sold to the private sectors for recycling. In our proposed model, the government is the leader which minimizes the total costs of purchasing and transportation of the EOL products by defining the optimal price of purchasing and selling these products. Moreover, private sector is considered as the follower and seeks to maximize its profit via recycling. Finally, a genetic algorithm has been developed to solve the presented bi-level model.

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