Developer denies unfairness

Leony Aurora, Jakarta

Developer PT Jakarta Realty brushed aside suggestions its planned Jakarta City Center (JACC) wholesale complex would kill off other traditional and textile markets in the area.

In a press conference on Wednesday, vice president director Rusdi Yusuf said the markets would operate in synergy and support of each other.

"The JACC would be built to accommodate the high demand (of trade centers)," Rusdi said.

The developer's director, Frans Wirawan, added that the JACC complex, to be built at a site that was formerly part of the Melati dam in Central Jakarta, had been proposed because the developer saw the need for Tanah Abang vendors to expand their businesses. "But they cannot expand in Tanah Abang as it is already too crowded."

The wholesale center, which would hold 10,000 kiosks, is less than one kilometer away from the Tanah Abang textile market, which is one of the biggest textile markets in Southeast Asia.

Rusdi said the developer, a consortium of city-owned developer PT Jakarta Propertindo and private developer PT Agung Podomoro, had conducted a survey through an independent consultant to determine the demand for more wholesale space.

He also said international traders could benefit from the JACC, which would have export and import facilities such as a customs office, cargo expedition offices and warehouses.

A 12-floor traders hotel, comprising 300 rooms and a convention center, would also be built within the complex.

Controversy has surrounded the planned wholesale center as Tanah Abang textile traders say it will destroy their businesses. Last week, some 300 vendors from the market organized a rally at the Hotel Indonesia traffic circle to demand the city retract the permits for the planned wholesale complex.

"I am not convinced that the demonstrators were Tanah Abang traders," said Rusdi. "They could have been hired men."

Analysts point out the JACC would violate a city bylaw on private markets and would also cover a water catchment area.

Bylaw No. 2/2002 stipulates that a private market occupying more than 4,000 square meters of land must be built at least 2.5 kilometers away from other traditional or community markets.

Rusdi insisted the center would not violate the bylaw, citing markets in Cililitan, East Jakarta, and in Mangga Dua, North Jakarta, as examples. These two areas have several traditional and private markets within a short distance of each other.

The Jakarta administration has responded to the controversy by saying it is considering amending the bylaw.