Nana Rukmana and Fadli, Cirebon, Batam – The Cirebon City Council is demanding the city administration stop issuing development permits for modern retailers, as their mushrooming presence puts the viability of traditional markets at stake.

Chairman of the council's public welfare commission Tjipto said Friday with the administration issuing permits to modern retailers so readily, rampant development of supermarkets and mini-markets had forced many traditional markets into bankruptcy.

"The administration isn't serious about defending traditional traders and markets. They are being evicted by the rampant development of supermarkets and mini-markets, which have much stronger capital," he said.

As many as 10 traditional markets are now being forced to compete with six modern retailers and numerous mini-markets throughout Cirebon.

The city's traditional markets include Kanoman market, Jagasatru market, Kramat market, Kalitanjung market, Pagi market, Perumnas market, Drajat market, Pronggol market, Kalijaga market and Gunung Sari market. An estimated 5,000 vendors earn a living from the 10 traditional markets.

"But most of the vendors have started to go bankrupt. Stalls in traditional markets are becoming vacant, abandoned by bankrupt vendors," Tjipto said. "The administration should control this unhealthy economic situation."

Hamdani, a vendor at Kanoman market, said many of his colleagues object to the presence of nearby supermarkets. "Uncontrolled development of supermarkets can kill the businesses of small traders like us," he said.

He said there was a supermarket less than 500 meters from where he traded. "This obviously puts small traders at a disadvantage."

Asep, 40, a vegetable vendor at Jagasatru market likewise said he "cannot hold out any longer" in competing with supermarkets. He said his friends who once ran neighboring stalls have already gone bankrupt.

The Batam city administration is meanwhile considering putting a halt to the issuance of permits for new malls and modern shopping centers, saying it would help protect the traditional markets and local business climate. "Malls and modern shopping centers are not supposed to kill traditional markets," Batam Mayor Ahmad Dahlan told The Jakarta Post.

He added that a bylaw on market management to accommodate the plan was being deliberated at the city council and was expected to be approved this year. "Through the bylaw we will limit the development of malls according to the local condition," he said.

The two existing hyper marts in Batam, he went on, were more than sufficient to serve the city population of some 700,000. Quoting a statement made by the trade minister, he said that a hyper mart could serve a city with a population of up to 500,000.

Data from the city administration shows there are 16 malls or shopping centers currently operating in Batam. They exclude at least three others under construction and two others forced to close amid the stiff competition.