Market outside the market" surrounds
Around Hoc Mon wholesale market, dozens of meat and vegetable selling points and strollers encroach on sidewalks and roads, forming "market outside the market". This situation causes unsightliness, obstructs traffic and creates competitive pressure on small traders in the market.
Mr. Cao Van Hoang - a vegetable trader at Hoc Mon wholesale market - informed that the number of wholesale customers has decreased significantly in recent years as many wholesalers have switched to picking up goods at preliminary processing points outside.
We have to pay site fees, electricity and water, and fully comply with regulations, so the cost is higher. Meanwhile, many outside points of sale have lower costs and cheaper prices, so customers switch to buying. At times, revenue has decreased by nearly half" - Mr. Hoang shared. Many other business households also have to narrow down their scale, even return stalls because they cannot compete.
According to a representative of Hoc Mon wholesale market, although inter-sectoral forces regularly patrol and handle, spontaneous trading points still exist, creating unfair competition and potential risks of environmental unsanitary conditions.
At Thu Duc wholesale market, the area outside the market and adjacent roads concentrate many points selling vegetables, shredded lemongrass, shredded banana flowers... along with many freelance workers selling scallions, bulbs, and fruits on sidewalks and roads. These points of sale regularly encroach on public space, causing urban disorder, affecting traffic and environmental sanitation.
The Board of Directors of Thu Duc wholesale market admitted that inspection and handling of food pre-processing facilities outside face many difficulties. Many facilities only rent temporary premises, are not registered for business, and have no representatives working with the inspection team. After being recorded, many cases quickly moved to other locations to continue operating.
Along the roads around the market, trucks and container trucks regularly gather and unload goods to supply spontaneous business locations. Not only putting pressure on traffic infrastructure, these locations also cause many traders in the market to lose customers. Worryingly, goods circulating outside are not under the management of the market, so the control of origin, quality, food safety and the risk of counterfeit and smuggled goods still have many shortcomings.
To handle it thoroughly, inter-sectoral solutions are needed
Mr. Nguyen Nguyen Phuong - Deputy Director of Ho Chi Minh City Department of Industry and Trade - assessed that in the early stages when the city established the Food Safety Management Board and implemented the supply chain control project, coordination with raw material areas brought positive effects.
However, the cost of preliminary processing of food at source is high, causing many traders to switch to renting premises around the market for preliminary processing, helping to reduce costs and increase competitiveness. "At that time, small traders in the market gradually lose their competitive advantage. Many people are forced to change their business methods, making the centralized preliminary processing model at source no longer as effective as before" - Mr. Phuong said.
According to him, this is an issue that has been recognized for a long time but is very difficult to handle if only assigned to one unit. Outside businesses have the advantage of low costs, while consumers prioritize convenience. Most points of sale only take goods from the market and then resell them, so they still have profits.
The market law is that there will be supply when there is demand. If there are still buyers, there will still be sellers. Local authorities can launch campaigns in batches but cannot arrange forces to be on duty regularly, so after each handling batch, spontaneous trading may recur" - Mr. Phuong assessed.
According to the Ho Chi Minh City Department of Industry and Trade, Binh Dien market has installed fences, cameras, increased propaganda and inspection. However, the city needs to reduce cost differences, create fair competition to retain traders in the market and limit "market outside the market".
