Friday, May 27, 2011

Protection of Traditional Markets in Jakarta

The rapid growth of modern Supermarkets and Mini-markets in Jakarta have been protested by the owners of traditional markets and small shops who feared that those modern markets would endanger their businesses.

In order to provide better protection for the Traditional market, the  Governor of Jakarta Fauzi Bowo last Wednesday submitted a draft of revision of By-law No. 2/2002 regarding Markets to the Jakarta House of Representatives.


According to Berita Jakarta, the revision was actually planned in 2006, but postponed because waiting for the President Regulation No 112/2007 about Modern Shop and Traditional Market Management, and the Trade Minister Regulation No 53/M-DAG/Per/12/2008 about Modern Shop and Traditional Market Management.

Pos Kota reported that the draft By-Law stipulated that Mini Markets with a building area of 200 square meters should be located at least 400 square meters away from a Traditional market.

While Supermarkets with a building area of 2,000 square meters should be located around 2 Kilometers away from a Traditional market.

I hope that the draft of the revision of By-Law will be accepted soon, so that the owners of traditional markets and small shops would not be worried anymore.  


Photo: Courtesy of Berita Jakarta.

19 comments:

boyin said...

I'm agree of the protection of traditional market as the giant supermarkets leave business ethical through massive campaign or promotion by flyer to destroy traditional market price of groceries shopping with their financial strength.

Wisata Murah said...

walau terkesan agak diperlambat. keputusan ini harus didukung dan segera direalisasikan DRP dalam bentuk Undang Undang..

bantulah rakyat walau hanya dengan undang undang yang kadang lalai dilanggar kembali.. tapi minimal ada track record untuk di catat dalam perjalanan sejarah bangsa ini.. nice info sob.

Linda said...

Not sure that a 2K rule will help. Here in the USA, many small stores went out of business when supermarkets opened even farther away than that. Ironically, some of these supermarkets could not compete later when Walmart opened up in the same town.

On the other hand, "dollar stores" compete strongly against Walmart because they have better prices on many items and are faster to shop in.

Aprianti said...

Though I agree with this law, I’d love to see other basic improvements made to help traditional market to compete with modern market:
- Improve the building condition
- Provide more parking space
- Promote through media that the products of traditional market are cheaper, fresher, and they sell more varieties of meats and veggies
- Protection through the price mechanism

colson said...

Seemingly protection of traditional markets is sympathetic - that is if it really is protection. And if this protection isn't kind defence against the (economic)inevitable.

On second thought I got some doubts at the sight if the photo of two crying young ladies they would loose their jobs because their convenience store will be closed because of a similar administrative rule by the Jakarta municipality( the distance being 500m meters in this case).

Multibrand said...

@Boyin,
Yes this kind of protection for the financially weak vendors at the traditional markets.

@Wisata Murah,
Mudah2an DPRD Jakarta akan menyetujuinya.

@Linda,
I think you are right.
But still it would be much
better to set distances between the traditional market and modern ones.
Maybe traditional ones should adopt concept of "dollars store" that you mentioned.

@Aprianti,
I fully agree with your idealistic traditional market, but I am not sure whether it can be realized in the near future.

@Colson,
Right now the distance between the traditional and modern super/mini market is 500 Meter. But still there are many modern ones which are located much closer thus violating the rules.

smp 3 lembang said...

agak miris juga pasar traditional mulai hilang dari kota-kota metropolitan di gusur oleh para kapitalis, mudah-mudahan DPR bisa peduli dengan rakyat

Multibrand said...

@Smp3lembang,
Mudah2an keberpihakan ada pada para pedagang pasar tradisional.

stugod said...

Now you have a subject I can comment on. The rise of the big supermarkets has decimated the small shops in my area of the uk.
But that is not the end of it, The buying power of these big chains means that farmers have to take the price that the big supermarkets will pay. My own take is that although they employ a fair few people the loss to the various communities never gets replaced.
If you can Indonesia keep your small shops.!!!

Multibrand said...

Hi Stuart/Stugod,
Yes we should keep our small shops and traditional markets.
I am happy to see back on my blog.

Luke said...

Sorry, but I cant really see what all the fuss is about. A traditional market and a Indo Mart offer 2 completely different concepts of shopping, one is convenience and the other is not. Again the same can be said for a supermarket vs a market. 2 different types of shopping experience and customer. If we are complaining about the loss of small kiosks that line sidewalks and sell vitazone, cigarettes and individual mentos again that is another niche market. I agree that too many of one thing is bad as it will saturate a market and therefore reduce competition but only amongst certain retailers. People thought the TV would kill of radio yet Radio is still growing stronger every day even though TV has so much more to offer. Maybe the markets should adapt and improve to meet with todays lifestyle and needs rather than complain about being treated unfairly. Harry, Sorry I am ranting!! I shall stop. Looking forward to your reply... :)

Multibrand said...

Hi Luke,
I am glad to read your comments.
A traditional market in this case is a place where many different people open small kiosk and sell lots of things.
Elderly people, also young women/ girls like to to there.
There is no fixed price so you can bargain that they can be cheaper than Indomart, Alfa or Giant.
The bog difference between the two is that the traditional market consists of many individual kioks owned by different people. While minimarts and supermarkets are owned by big companies.
If you ask me which one I prefer, I'll choose the modern ones, but still I want the traditional ones keep on existing so that the vendors/kiosk owners can keep on living.

triesti said...

To be honest I hate going to traditional market over here because it's dirty, smelly, the path way is too narrow. I wish it was different.

Anyway... with the new law, would it means the old establishments which is not complying to the new law need to be shut down?

Jolly Princess said...

I do hope so that this proposal for the traditional market in Jakarta be approved. This is to protect the small business operators. I wish them good luck.:)

DS. Utomo said...

Of course they must be protected soon.

Kamal Hayat said...

Pasar tradisional di jakarta sudah mmulai hilang.. kasihan pedagang kecil

Multibrand said...

@Triesti,
The problem is actually not only with the by-law but also with the municipality government.
Last night a report on TV say that out of 1800 modern super/mini market only around 400 got proper license.
That is why the many of them were shut down.
So if the by-law is revised many more would be shut down.

@JP,
Yes, we must wish them good luck.

@Utomo,
Let us hope so.

@Kamal Hayat,
Oleh seba itu mereka harus dilindungi.

NURA said...

salam sobat
memprihatinkan ya, nasip pasar tradisional di Jakarta.
padahal masih disukai orang menengah kebawah.

Multibrand said...

@Nura,
Mudah2an pasar tradisional akan tetap bertahan agar pedagang kecil bisa jualan dan rakyat mayoritas bisa tetap belanja disana.