Sat, 11 Jan 2003

It's business as usual in Jakarta despite protests

Damar Harsanto, The Jakarta Post, Jakarta

While thousands of people took to the streets in protest of the utility price increases on Friday, it was business as usual in the heart of Jakarta's business district in Glodok and Mangga Dua, both in West Jakarta.

Most of the shops in the Glodok electronics market, which is the largest electronics center in the country, and in the Mangga Dua wholesale market remained open, despite the fact that less than five kilometers to the south demonstrators protested in front of the Merdeka presidential palace.

"Although I worry a little bit that the political tension could deteriorate anytime and lead to massive rioting, we have no other choice but to keep working hard during the protracted economic hardship," said Aming, an electronics shop owner.

His shop and storehouse in Glodok were looted during the May 1998 riots in Jakarta, costing him nearly Rp 1 billion in losses.

Aming said people who own and operate electronics businesses during difficult economic times must work harder just to survive, because most people struggle just to raise the money to purchase their daily needs.

"The people's mood for electronics has dived sharply because they tend to save their money to buy basic commodities in the wake of the recent increases in fuel prices and phone and electricity rates," Aming said.

He said that before the hikes, his shop sold between 100 and 125 TV sets a month.

"But after the hikes earlier this month, our sales have dropped by 40 percent. Sometimes I don't even sell one TV despite being open all day," said Aming, who has been running his business since 1992.

The government earlier announced simultaneous increases in phone rates by an average of 15 percent, electricity rates by 6 percent and fuel prices in accordance with international market prices.

Following the increase, a wave of demonstrations were sparked across the country, including in the capital.

On Friday, the demonstration at the presidential palace caused a heavy traffic jam for about three hours in the area.

The owner of a cloth shop in Mangga Dua, Lily, expressed fear the heightened political tension in the aftermath of the increases could result in violence and rioting.

"We are used to demonstrations and rallies in the capital, but I think the current rallies are a little bit different because there are so many factors that could make the situation much worse," said Lily.

She said most shop owners had networks of people to provide them warnings if the situation in Jakarta was deteriorating.

"If the situation in the city worsens, we call each other with warnings and then we close our shops," Lily said.

Rudy, the owner of an electronics shop in Glodok, said he always monitored the news so he could stay abreast of the situation in the city.

"I always tune in for the latest news about the situation in the city, mainly via TV programs," said Rudy.

Rudy said running a business during such uncertain political times was risky.

"But it's better than doing nothing, right?" he said.

Rudy, who has been running his business since 1999, said the last time he closed down his shop was when the city administration evicted street vendors from in front of the market last month.

"All the shops closed for a day because of fears that a clash between the street vendors and the city's public order officers, who were backed by the police, could affect our shops," Rudy said.