[토픽] 8/10 DEBATE TOPIC] Consumers lambast Seoul's sales ban plan

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Consumers lambast Seoul's sales ban plan

By Rachel Lee 2013-03-12 19:30

A growing number of consumers have lashed out at Seoul City’s move to ban large discount stores from selling basic items. The move is aimed at forcing more shoppers go to traditional markets or smaller “mom-and-pop” stores.
The city government announced Friday it will seek to restrict the sale of 51 items at large-sized discount chains and super supermarkets (SSMs). The items in four categories include cigarettes, soju, spinach, courgettes, mackerel and tofu.
Seoul City plans to propose revising a related law at the National Assembly following a public hearing with interested parties and consumers next month.
“I think it’s the craziest thing for the city government to do to its citizens. I can’t believe it is considering the sales ban. It can do a better job than this,” Kim Sun-kyung, a 50-year-old housewife, told The Korea Times Tuesday.
Kim, who lives in Cheongdam-dong in southern Seoul, used to shop at E-Mart in Seongsu-dong every Sunday, which is located about 15 minutes drive away from her house.
“The nearest traditional market is Garak Market, but the place is way too far and even closed at night time. Now that E-Mart is closed on two Sundays every month, I have to take extra time to go shopping some other time instead,” she said.
“It’s already very inconvenient, but the government is becoming even more ridiculous. All of my friends and neighbors are against the new plan.”
The move comes after the city government earlier ordered those giant stores and SSMs to close two days per month to boost business at smaller mom-and-pop stores and traditional markets, which have lost customers to the retail giants.
“Most of the food items selected by the Seoul government are what Korean people eat every day. They are necessity goods. And I found out that it’s not necessarily cheaper to buy stuff at traditional markets. Sometimes they demand higher prices and give a smaller amount,” said Lee, a 34-year-old office worker said Monday.
Not only consumers are affected by the city government’s new plan, and the large discount stores and small- and medium-sized subcontractors are also complaining.
Industry insiders criticized the plan for being “bureaucratic” and “ignoring consumer rights and the reality they are facing.” They also fear industry employees are in danger of losing their jobs, which could lead to the collapse of the industry, according to a statement released by E-Mart.
“We are just a small subcontractor supplying tofu products to discount stores,” a local firm spokesman told The Korea Times Tuesday. “The government’s plan announced recently will lead to the closure of our business. Some are big enough to cover the losses, but small companies like us have no choice. I am 100 percent  against it.”
The city government, however, said consumers and discount stores are overreacting to the new plan, saying that the list of items is just a “recommendation.”
“It’s part of the plan to protect small shopkeepers, but it’s not like we are forcing large discount stores to stop selling those items. We will discuss this plan with them before we make a final decision,” a government spokesman said Tuesday.

http://www.koreatimes.co.kr/www/news/biz/2013/03/123_131971.html

Seoul City declares war on big stores with sales ban plan

City's plan to limit sales of vegetables, meat astounds retailers

Published : 2013-03-10 20:40
Seoul City has declared another war against major retailers by planning to limit the sales of 51 items including fresh foods at large discount stores and supermarket chains.
Although the measure is not legally binding yet, Seoul City’s recommendation to large discount stores and supermarket chains to restrict sales of those items would deal a blow to their revenues should it become a law.
The main objective is to lure people to conventional or traditional markets.
The city government plans to propose revising a related law to the National Assembly following a public hearing with interested parties and consumers next month.
Officials at E-mart, Homeplus, Lotte Mart and their affiliated supermarket chains like E-mart Everyday and Lotte Super believe the impact would be disastrous beyond comparison with the law that forces them to close two days a month.
“Who’s going to come to a discount store that doesn’t sell tofu and eggs?” said an official at one of the discount stores.
The 51 items that include tobacco and 17 types of vegetables and fresh goods such as fish, eggs and meat, accounted for about 15 percent of E-mart’s sales last year.
The new measure is yet another move by the Park Geun-hye government to help out the little people in the industry, but consumers appeared appalled.
“It would be terribly inconvenient if I can only buy beer and snacks at a discount store, and have to go somewhere else to buy fresh food,” said Kim Sang-min, who frequents a nearby Lotte Mart. “The conventional markets are too far away.”
Merchants at conventional marketplaces say the measure may have some positive effect on their business, but chide that more urgent issues need to be addressed.
“The city’s measure may bring more customers, but what’s hurting our business most is not the discount stores but the people who sell cheap produce from trucks within or near the market,” said one woman who sells greens at Seoul’s Jungang Market near Sindang subway station.
“Although legally unbinding, the measure has provided the grounds for the adjustment of items sold at large discount stores and will therefore help revive conventional markets and mom-and-pop shops,” said Kang Hee-eun, the Seoul City official in charge of supporting small business owners.
he city is also considering adjusting the number of items a new super supermarket can sell when small business owners in the neighborhood file for business adjustment.
“The major retailers are officially against it, but some within the industry say they don’t need to sell some of the products that are unprofitable,” Kang said.
By Kim So-hyun (sophie@heraldcorp.com)

http://khnews.kheraldm.com/view.php?ud=20130310000262&md=20130313004544_AT 

Q. Do you support Seoul's sales ban plan?