Traders agree to rent increase

Traders agree to rent increase

JAKARTA (JP): Traders at government-supported markets (locally
known as pasar inpres) have finally agreed to the city
administration's decision to upgrade the markets' status to self-
supported markets under certain conditions, an official revealed
on Friday.

"The traders finally understand the decision to upgrade the
markets' status after a meeting with several city officials,"
director of city-owned market operator PD Pasar Jaya Syahril
Tanjung told reporters at City Hall after the meeting.

"However, they did ask our guarantee to allow them to continue
running their businesses at the markets," he added, while saying
the resistance in the beginning was purely due to lack of
communication.

Also present at the meeting were Assistant to City Secretary
on Development Affairs Ongky Sukasah, head of the City Legal
Office Nelly Sukmo and head of the City Economic Office Dameria
Saragih.

The traders feared they would be thrown out of the markets
following the new status.

In the meeting, the traders also demanded the company not
raise the rent immediately.

"We can understand the traders financial difficulties to pay
the sharp increase. We'll therefore impose it gradually," Thamrin
said.

"The important thing is that they already agree with the
upgrade" he added.

Under the new status, traders running their business at a 4.2
square meters kiosk will be required to a pay daily rent (for the
business, littering, and security) of Rp 2,000 (about 25 US
cents), or about three times higher than the old rate of Rp 700.

Thamrin also said the upgrade would eventually give larger
benefits to the traders.

"The traders can use the kiosk's licenses on self-supported
markets as collateral to apply for loans from banks, not
permitted to those of renting kiosks in government-supported
markets," he said.

"Their children can also inherit the kiosks or sell them to
third parties," he added. (nvn)