Market vendors demand end to mall permits

Yuli Tri Suwarni, The Jakarta Post, Bandung

Traders from nine traditional markets in Bandung staged a rally at the West Java Legislative council Monday demanding that the government stop issuing building permits for malls.

A trader at the Ciroyom market in Bandung, Dadan Jumpena, 42, argued the municipal administration had not been selective in issuing building permits for malls to replace traditional markets. He said the administration cited excuses such as modernizing markets deemed dirty.

Traders are eventually forced to buy kiosks in the basement areas of these malls, at high prices set by the private developers.

"We have already met the legislative council and municipality a dozen times to voice our opposition but they have never responded seriously. More traditional markets will be evicted due to increased construction of malls," Dadang told the crowd from atop a truck in front of the legislative building on Jl. Diponegoro in Bandung on Monday.

Aside from the Ciroyom market, other traditional markets set to make way for malls include Pasar Baru, Ujungberung, Cicadas and Andir.

The municipality argues it lacks the funds to revitalize traditional markets, so it has invited the private sector to take part in the projects. However, according to Dadang, the revitalization benefits big traders at the expense of small vendors.

The traders say it is very difficult to pay the kiosk price of between Rp 11 million (approximately US$1,220) and Rp 21 million per square meter.

Based on this year's data at the Bandung Industrial and Trade Office, there are now 250 modern markets in Bandung, including 176 minimarkets and 74 malls and supermarkets. They compete with the thousands of traditional traders at 39 traditional markets.

A vendor at the Cicadas market, Beti Anan, said around 1,000 vendors who were relocated from the market earlier had been losing money for the past year due to the construction of the Bandung Trade Mall on the former market site.

"We could earn Rp 5 million (per day) in turnover previously, but earning Rp 2 million is good now," said Beti, who has been selling groceries at the market since 1984.

The head of Commission B on economic affairs at the West Java legislature, Hidayat Zaini, said he had sent a number of letters over the last year to the Bandung municipal council and administration about the issuance of building permits for malls and supermarkets, but had yet to receive a reply.

"We invited them to come, but there was no response," said Hidayat.

He added that the Commission was preparing a draft on a provincial ordinance on traditional market protection which would regulate permit issuance and determine the appropriate distance between a mall and a traditional market in a bid to alleviate unfair business competition.

"We cannot directly intervene with the municipality in prohibiting the issuance of permits for malls and supermarkets, but the regulation would make restrictions clear. In any case, the provincial administration is the representative of the central government in the provinces," said Zaini.