Vinh City: 28 markets are operating but facing many difficulties
Markets in Vinh city operate in a variety of different models, but in general they are facing difficulties.
Many markets are deserted
Vinh City currently has 28 operating markets, including: Class 1 markets have 2 markets, Vinh market and Vinh Railway Station market. Class 2 markets have 4 markets (Hung Dung market, Ben Thuy market, Phong Toan market, Coi Hung Loc market); Class 3 markets have 12 markets (Quan Lau market, Cua Bac market, Moi Truong Thi market, Dong Vinh market, Kenh Bac market, Mai Dau market, Doi Cung market, TECCO Vinh Tan market, Quyet market, Duoc market, Quang Trung market, Quan Bau market) and some unclassified markets such as Tru market, Din market, Quan Banh market, Nghi An market, Nghi Lien pagoda market, Hung Phuc food market, Hung Dong market, Nghi Kim market...
There is one market that is not yet in operation, Nghi Kim market, and one market that is currently in operation, Cau Thong market. This does not include the markets after the merger of Cua Lo and 4 communes of Nghi Loc district.
As a first-class urban area with an important position and quite a large area, the markets in Vinh city have an important position, both as the "soul" throughout the city's history and creating jobs and economic life for about 10,000 households.
However, over time, with the development of commercial services and changing consumer trends, traditional markets in Vinh city are facing difficulties. At Vinh Ga market, Quan Lau market... the rate of kiosk closure is about 30%; many small traders in the markets also close their stalls and advertise their stalls for sale. Vinh market currently has 3,200 business households, with a total annual revenue of about 15 billion VND, but the facilities on both sides of the market are deteriorating, about 10% of the business households in the market have closed.
Ms. Nguyen Thi Van, a small business owner selling household goods at Phong Toan market, said: In recent years, due to the decrease in the number of customers, she and many other small businesses want to give up their business here.
“Goods are sluggish, revenue is down, but taxes still have to be paid in full. Many stalls inside the main market have long since closed. We on the street are trying to stay, but in the long run, we cannot sustain ourselves,” Ms. Van said.
Phong Toan Market is designed with 2 floors, solid quality, planned to arrange 400 locations, business booths with a usable area of 3,157.96m2, after completion of construction, it has been in operation since 2011. From 2013 to now, the entire main hall on the 2nd floor with 89 booths has not been in operation. In April 2022, the collective of Phong Toan market traders had filed a petition, requesting the authorities to consider exempting land rent tax on the grounds that business was sluggish, revenue was not enough to pay taxes...
Talking about the business situation at Phong Toan market, Ms. Tran Thi Huong - Director of Phong Toan Cooperative said that if the main hall on the first floor of the market in 2022 had 6/44 kiosks in operation, now there are only 3 kiosks in operation. The pavilion selling food and fruits currently has only 8/58 kiosks in operation; the auxiliary pavilion selling poultry and fresh goods has decreased from 20/60 in 2022 to 11/60 kiosks in operation. Around the market, there are 36/91 kiosks in operation, of which 19 are selling vegetables, tubers and fruits, of which 11 are small traders who have switched to selling on the street, not sitting permanently at the market.
Ms. Tran Thi Huong said: The Management Board of Phong Toan Cooperative and its members have discussed and worked together to find ways to improve the business situation, but the results have not been positive due to the decreasing number of people coming to the market.
“To improve this situation, we hope to have investors with enough capacity to invest in renovating, upgrading and changing the business form, changing the purpose of using the facilities and land rented by the cooperative, but it must be in accordance with the law,” Ms. Tran Thi Huong expressed.
Obviously, traditional markets are facing the problem: How to exist in a way that is worthy of its stature and position. And how to exist reasonably in the heart of the city to ensure both the civilized urban beauty and the shopping and sightseeing needs of the people?
Tremove state management from business management
In Vinh city, there are currently a number of market investment and development models such as: Socialization model (New Truong Thi market, Nghi Kim market, Agricultural products market west of Vinh market); Cooperative model of market investment, management, business, exploitation (Phong Toan market, Coi market, Quyet market, Nghi Lien market); Market model is converting to cooperative model (Cua Bac market cooperative, Ben Thuy market cooperative, Kenh Bac market cooperative).
There are currently 16 markets that have not yet converted their operating model, including Vinh market, Vinh Railway Station market, Hung Dung market, Quan Lau market, Doi Cung market, Quan Banh market, Duoc market, Dong Vinh market, Tru Hung Hoa market, Mai Dau market, Quan Bau market...
The direction of model transformation, separating state management from market management and business management has initially achieved positive results. Some markets operate effectively such as Ben Thuy market, Quang Trung market, Hung Dung market...
However, there are still many problems: Some markets have been completed but have not been put into operation such as Nghi Kim and Hung Dong markets, some markets are not operating at full capacity such as TECCO Vinh Tan market and Moi Truong Thi market. Coordination between departments, branches, wards and communes with investors and enterprises faces many difficulties; many markets are degraded; do not meet fire prevention and fighting safety requirements; few customers, sluggish business, and do not meet the requirements of traders. Some markets even have mass complaints and disputes between traders who are cooperative members and independent members.
In the past, whenever the issue of market conversion was mentioned, many traders expressed dissatisfaction. Some markets even had complaints. However, facing the increasingly gloomy business situation and market degradation, many traders have begun to realize the problem and want to change the model.
Faced with the above situation, the City People's Committee has also issued a plan to develop trade and services associated with transforming the organization, management, exploitation and business model of markets in Vinh city for the period of 2021 - 2025, focusing on directing the transformation of the organization, management, business and exploitation model of Vinh market and Quan Lau market (markets included in the investment portfolio of Decision No. 827/QD-TTg dated June 12, 2020 of the Prime Minister)...