Traders oppose Matahari's plan

JAKARTA (JP): Local traders look likely to keep Matahari, a large-scale retail store chain, from opening at outlet at Klender market.

Soedradjat Soeleman, president of the city-owned market managing company PD Pasar Jaya, told reporters yesterday that Matahari will not be allowed to buy spaces at Klender market if its existence hurts the operation of traditional traders.

"In some cases the existence of a Matahari department store can attract more visitors to a market. But if its operation affects local traders' business activities, it is better not to allow it to enter the market," he said.

Soedradjat made the remark in response to a demand advanced by 10 of the market's traders, who represented 600 of their associates. The ten traders went to City Council on Monday, urging City Administration not to allow the Matahari department store to enter the market.

Klender market is being rebuilt after it was gutted by fire last March and the project is expected to be completed in the middle of next year.

The fire in March was the second at Klender market, the first occurred in December 1993. The fire forced market traders to build provisional kiosks nearby, while waiting for construction of the new market building by City Administration.

Soedradjat said that the traders who used to operate there will be given first priority to occupy the new building, which is in line with PD Pasar Jaya's efforts to protect the interest of small-scale traders.

Despite the City Administration promise, that former traders will be given first priority, the traders are now worried that they cannot afford the kiosks because of their high prices, between Rp 1.9 million (US$863.63) and Rp 3.6 million each, with a down payment of 25 percent of the total price.

"Even if we can buy the kiosks, we will not be able to compete with the large-scale retail company, if Matahari is allowed to enter," Bahar, a former market trader, said. (32)