Floating waste in inland waterways threatens aquatic ecosystems and requires timely monitoring under cluttered, multi-object conditions. Existing aquatic-waste datasets provide limited geographic coverage, sparse multi-instance annotations, and little supervision beyond boxes and labels.

Compact vision-language models (VLMs) therefore remain insufficiently evaluated for jointly localizing, classifying, counting, and explaining floating waste. We introduce WADE, a reasoning-annotated benchmark containing 2,167 images from rural Bangladesh, 13,608 bounding boxes, and ten waste categories.

Each annotation is associated with class-level recognition rules covering visual cues, likely confusions, and discriminative features. We evaluate six VLMs under zero-shot, two-shot, reasoning-guided, and fine-tuned settings using detection, counting, and hallucination metrics.

For resource-efficient adaptation, we jointly fine-tune Qwen3-VL-2B on boxes, labels, and reasoning chains using QLoRA. Fine-tuning increases recall from 0.0248 to 0.2339 and F1 from 0.0257 to 0.2163, while reducing image-level hallucination from 0.6836 to 0.0883.

However, over three-quarters of instances remain undetected, establishing WADE as a challenging benchmark for dense floating-waste grounding with compact VLMs.