The trend to upgrade or replace traditional markets with supermarkets in Vietnam's urban areas was not necessarily a good one for shoppers or traders.
According to statistics from Ministry of Industry and Trade's Domestic Market Department, there are more than 8,500 traditional markets, 600 supermarkets and about 102 shopping centres nationwide.
Traditional markets and vendors meet 95 percent of domestic demand for food and other necessities. Supermarkets and shopping centres cater to other customers, often foreigners.
Official surveys and public polls prove that traditional markets can survive the toughest competition with other retailers.
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| Photo: VTC |
A researcher from the ministry's Trade Research Institute, Hoang Xuan Tho, said that traditional markets had the major advantage of being able to offer a big range of fresh foods at the cheapest prices - and support local farmers as well. "These markets play an important role in supplying necessities for poor customers," he said.
Meanwhile, vice director of Hanoi's Industry and Trade Department, Nguyen Van Dong, said that when markets are turned into supermarkets or shopping centres, the cost for premises increased, posing difficulty for small traders - who often have to push up the prices of their goods.
Moreover, trends prove that customers prefer buy food in traditional or street markets than in shopping centres, leading to a waste in investment.
In Hanoi alone, there are 411 traditional markets, including three wholesale ones. On average, each local district and town has 14 markets and each market serves about 15,200 residents.
Some major markets have been replaced with shopping centres such as Cua Nam , O Cho Dua and Hang Da. However, these new centres are reported to have failed to lure customers.
Stephanie Geertman from HealthBridge, a Canadian non-profit organisation, said that the trends in Vietnam and developing countries are to move away from traditional markets towards supermarkets.
However, she said, the shift can change the access and availability of food supply and impact the economy, environment, health and culture. For example, she said supermarkets are an easy entrance into a foreign market for large international food companies.
Supermarkets, especially when they first introduce, focus on processed, dry, and packaged foods because they enable economies of scale and have long shelf lives. "This means more food is imported, creating fewer employment opportunities for local farmers who produce local fruits and vegetables, decreasing opportunities for the urban poor to make an income," she said.
Moreover, fresh markets were important assets playing a key role in the identity of neighbourhoods, she said, adding that closing them can cause a loss in the sense of community and culture. She noted that traditional markets make many Asian cities, including Hanoi, unique.
Researcher Tho said that instead of replacing traditional markets, urban authorities should develop them and make sure they are in convenient locations for shopping. He backed a ministry plan that the Government should even offer incentives for people to build them.
Source: VNA