Pasar malam traders staring at huge losses after stocking up for CNY


Khoo Gek San

A man sitting under lantern decorations, used during Chinese New Year celebrations, at a shop in Kuala Lumpur. Pasar malam traders who stocked up on such items now have no place to sell their new year goodies after Malaysia reimposed the MCO. – AFP pic, January 21, 2021.

PASAR malam traders in states subject to the movement-control order (MCO) are facing huge losses and even permanent closure if they are not allowed to operate, especially now when they have stocked up on Chinese New Year goodies.

They told The Malaysian Insight there needs to be a uniform decision on allowing them to operate as at present only some local councils in states under the MCO allow them to open for business under strict health protocols.

Even in cases where they are allowed to open, they said the MCO as well as the fear of Covid-19 infection would result in limited foot traffic and loss of income.

Many have stocked up for the celebrations but the goods will now go to waste, resulting in huge financial losses and maybe even bankruptcy.

Federation of Hawkers and Petty Traders’ Association president Yow Boon Chuan said its members have already bought large amounts of stock in anticipation of the CNY festivities but now face prohibition from operating.

“Some hawkers have bought 6,000 boxes of tangerines, but now they can’t open because of the MCO. Some traders have also bought stocks specific to the celebrations.

“For example, if a trader orders RM30,000 worth of products, how do you pay the wholesaler when you can’t sell your products? This is especially true for festive-related products and foodstuff.

“Once the celebrations are over, you simply can’t sell them.

“I hope the government can allow small traders to open after January 26 so they can do some business during the critical period of the celebrations,” he said.

Penang traders say business during weekdays is slow with the elderly and children being discouraged from going outdoors, while some are also not allowed to work. – The Malaysian Insight file pic, January 21, 2021.

Appeal to DBKL

Kuala Lumpur Hawkers and Mobile Traders’ Association president Lim Suai Chai said Kuala Lumpur City Hall (DBKL) closed night markets amid the MCO, leaving hawkers stranded with Chinese New Year stock.

Lim said it is the Year of the Ox, according to the Chinese zodiac, and celebratory products would have been designed accordingly, with traders now bitterly saying that they may only be able to sell these items in 12 years.

Hawker groups are now discussing with DBKL, hoping the local authorities will reconsider their decision to close pasar malam and allow them to ply their trade.

“The MCO is scheduled until January 26, there’ll only be two weeks left for the celebrations and traders hope they will be able to sell off their stock.

“Why are shopping malls allowed to open while pasar malam are closed?” Lim said.

Pasar malam have always adhered to the Covid-19 standard operating procedure, with patrons leaving the premises after purchasing food or other products as no idle walking is allowed, said Lim.

“For the past year, business for hawkers and small traders was already in the doldrums, we only earn about RM100 a day. Even if business won’t be as good due to the MCO, it would be better than having zero income.

“Even if we earn only RM30 a day then we would at least be able to feed ourselves.”

He said this would also have a knock-on effect for the hawkers and traders. For example, he said, if they are unable to service house and car loans, then banks will chase them for payments, and if they can’t pay school fees, then their children may have to drop out of school.

However, Lim said it is unlikely traders would go bankrupt, as they will abandon their businesses to find work. He said many hawkers and traders in Kuala Lumpur switched to work with wholesalers during last year’s MCO.

Some traders are questioning why shopping malls are allowed to open while pasar malam are closed. – The Malaysian Insight pic by Nazir Sufari, January 21, 2021.

Hard times ahead

Coalition of Penang Island Traders and Hawkers president Lam Tong Ying said business at pasar malam dropped to 20% as people were afraid to go out due to Covid-19 infections.

“The worst hit are the traders who sell Chinese New Year goods. We hope that after January 26, if the MCO is over, then people can at least do some last-minute shopping.

“At least there’ll be some income for hawkers and traders and it won’t be a total loss,” Lam said.

The Penang authorities have also limited operating hours for pasar malam from 6pm to 10pm, with many traders not bothering to open as the hours are too short.

Penang Petty Traders Association president Ooi Thean Huat said morning markets are now limited from 7am to 2pm, while afternoon markets operate from 12pm to 5pm.

He said business during weekdays has slowed to a crawl with the elderly and children being discouraged from going outdoors while some are also not allowed to work.

“Hawkers can only wait for the weekends for a moderate amount of business,” Ooi said.

Plus, he said, the Penang authorities have also barred clothing and accessory stalls, which means those selling celebratory outfits have no business at all.

“It can’t be that people aren’t buying new clothes for the new year celebrations, so why weren’t they allowed to open?

“If after January 26 the MCO is extended another two weeks, then most of the celebrations would have passed, with only two days remaining for hawkers to sell their goods,” Ooi said.

He was expecting many traders and hawkers to run into deep financial trouble, with some resorting to borrowing from loan sharks.

Prime Minister Muhyiddin Yassin initially reinstated the MCO in six states – Penang, Selangor, Federal Territories (Kuala Lumpur, Putrajaya and Labuan), Malacca, Johor and Sabah – from January 13 to 26.

The conditional MCO was enforced in Pahang, Perak, Negri Sembilan, Kedah, Terengganu and Kelantan while Perlis and Sarawak had remained in the recovery MCO phase.

However, from tomorrow, all states, with the exception of Sarawak, will be under MCO. The Borneo state is currently under conditional MCO. – January 21, 2021.


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