B.Mirror Desk:  At one time, upscale and mid-range shopping malls in various parts of the capital were bustling hubs, drawing large crowds of shoppers. However, shopping habits, consumer preferences, and purchasing power have evolved over time. Many shopping malls are now struggling to survive, unable to compete with the low-cost stalls that have proliferated along the footpaths. In some places, shops are closing due to a lack of customers, while in others, businesses are preparing to shut down entirely. Meanwhile, these unregulated businesses—which occupy public footpaths—not only cause the government to lose significant revenue but also exacerbate traffic congestion and public hardship in urban life. Given this situation, it is essential to move beyond simple evictions; instead, hawkers should be registered, provided with designated business locations, and brought under a system of regular oversight.
Karnaphuli Garden City Shopping Complex in the capital’s Kakrail area serves as a notable example. Established toward the end of the last century, this complex was once a preferred destination for middle- and upper-class shoppers, who flocked there to purchase everything from clothing, footwear, and cosmetics to jewelry. However, a steady decline in foot traffic left the complex commercially unviable. The situation reached a point where, on October 1, the shop owners collectively decided to shut it down.
Karnaphuli Garden City, constructed by the Karnaphuli Group in 1998, originally occupied the basement and four floors of a 20-story building—the remaining floors of which house residential apartments. The complex contained 198 shops, owned by 125 individual business owners. After enduring long-term losses, they have ultimately decided to close their shops and sell off their ownership stakes.
A similar situation is unfolding in several other shopping malls across the capital. Eastern Plaza, once considered an upscale destination, has also lost its former luster and now finds itself in a state of decline. At shopping centers such as Eastern Mallika, Police Plaza, Rapa Plaza, Shimanto Square, Hosaf Tower, Mouchak Market, Shah Ali Market in Mirpur, and Century Arcade, the number of shoppers is significantly lower than in the past. Merchants in these malls have been facing losses for a long time; if the situation does not improve, many may be forced to close their businesses.
These shopping malls were primarily established to cater to middle-class and lower-middle-class consumers. However, a large segment of this demographic now prefers to shop at sidewalk stalls, as many products of comparable quality to those found in malls are available there at lower prices. Consequently, shoppers are turning to sidewalk vendors to take advantage of these cost savings.
It is important to note that the cost structures for businesses in shopping malls and those on sidewalks differ significantly. Mall-based retailers must cover expenses such as rent, electricity bills, VAT, and various taxes. In contrast, most sidewalk vendors are not subject to these regular financial obligations, which allows them to offer lower prices. Yet, this lower pricing comes with a major drawback: most sidewalk stalls lack legal registration, proper oversight, or accountability. There are also frequent allegations regarding the sale of substandard goods and the deception of customers.
While shoppers may save money in the short term by purchasing cheaper goods, the broader economic impact must be considered. Because a vast volume of goods is sold through unregistered businesses, the government fails to collect appropriate revenue—depriving the state of funds from sources like VAT and income tax. This revenue shortfall ultimately affects the national economy. In other words, while consumers may benefit from lower prices, these unregulated business activities cause long-term harm to the economy.
The operation of sidewalk businesses is sustained by an informal system. In many instances, there are allegations of collusion involving influential local figures, politically powerful groups, and certain members of law enforcement. It is alleged that these illicit operations are maintained through the regular collection of payments from the sidewalk vendors. Consequently, while the hawkers continue their business, the government receives no revenue from it; instead, it is the general public who pays the price.
With the footpaths occupied, pedestrians are deprived of the space they need to walk freely, forcing them to use the main roads. This obstructs the movement of both vehicles and pedestrians, leading to increased traffic congestion. Such congestion not only results in the loss of productive work hours but also harms the national economy. Furthermore, the haphazard placement of stalls detracts from the city’s aesthetic appeal and, in some areas, raises concerns regarding a potential deterioration in law and order.
In light of this, the capital’s two city corporations have initiated efforts to clear the footpaths of encroachments. The objective is to bring the hawkers under a regulated framework while restoring the right of way for pedestrians. Hawkers have already been removed from the footpaths in the Mirpur, Uttara, and New Market areas, with plans to extend these operations to other parts of the city.
Recently, an operation was conducted to clear the footpaths in front of the New Market area in the capital. Dhaka South City Corporation (DSCC) has planted over a hundred tree saplings at various points along the footpaths following eviction drives, ensuring that stalls cannot be set up there again. Meanwhile, a visible transformation has taken place around the Mirpur-10 roundabout and its surrounding areas following similar eviction efforts. With the reduction in long-standing traffic congestion and the dispersal of hawker clusters, pedestrians can now move around with significantly greater ease.
If such initiatives are successfully implemented, it will be possible to keep the capital’s footpaths accessible to pedestrians. Furthermore, this will have a positive impact on reducing traffic congestion, improving the urban environment, and alleviating the hardships faced by the general public.
Last April, the Prime Minister instructed the relevant authorities to arrange alternative employment opportunities for the hawkers. In line with this directive, plans are now being considered to relocate them from the footpaths to designated alternative business sites. Simply evicting hawkers and cutting off their means of livelihood would not provide a permanent solution; their employment needs must be addressed with equal importance.
In the past, while various drives were conducted to clear footpaths, hawkers often returned within a few days. In many areas, the previous situation was restored due to compromises made with local political leaders or interference from influential quarters. To prevent a recurrence of this, the City Corporation is now prioritizing the establishment of alternative arrangements.
Dhaka North City Corporation (DNCC) is currently searching for suitable locations to rehabilitate the evicted hawkers. According to the plan, they may be granted the opportunity to conduct business regularly at designated sites. Relying solely on ‘holiday markets’—which might only operate two days a week—would make it difficult for many hawkers to sustain their families; therefore, the possibility of allowing daily business operations in specific areas is being considered. A potential schedule under discussion involves operating from the afternoon until 11:00 PM. If necessary, boundary walls could also be constructed at these locations.
However, one crucial aspect must be ensured during the rehabilitation process: no political group, local influential figure, or any other party should be able to illegally extort money from the hawkers. In accordance with the regulations set by the city corporation, a reasonable fee or service charge could be levied on hawkers. This would create a legitimate environment for their businesses, while a portion of their earnings would contribute to government revenue.
According to official records, there are over 600,000 hawkers across the country, with approximately 400,000 in Dhaka city alone. Of these, about 130,000 are members of various associations, while the remaining 270,000 operate as itinerant vendors. However, non-governmental estimates suggest that the actual number of hawkers nationwide is no less than 2 million. This discrepancy highlights the urgent need to compile a comprehensive and reliable registry of hawkers. Registering hawkers would provide accurate data regarding their total numbers, the nature of their businesses, and their operating locations. Furthermore, it would facilitate the collection of prescribed registration fees and regular service charges. Currently, a significant portion of the money collected from hawkers by various entities never reaches the public exchequer; implementing a transparent management system would allow a share of these funds to be integrated into state revenue. Registered hawkers could be provided with identification cards, designated business locations, specific operating hours, and quality control standards for their goods. This would not only legitimize their operations but also safeguard the interests of consumers—enabling action to be taken against any hawker in the event of complaints regarding product quality. Additionally, it would create a more balanced competitive landscape between hawkers and businesses in shopping malls, as both parties would be required to operate within a framework of established rules and financial accountability.
Many countries around the world have long grappled with issues concerning sidewalk hawkers. Yet, through structured management, several nations have successfully transformed this challenge into an economic opportunity. The experiences of the United Kingdom, Singapore, and Thailand are particularly noteworthy; rather than resorting to total eviction, these countries have integrated hawkers into a regulated system—assigning them specific locations and operating hours. In Bangkok, the capital of Thailand, sidewalk hawkers once caused significant problems, including traffic congestion, hardships for pedestrians, and various complications within the tourism sector. Many street vendors used to operate wherever they pleased by paying off local influential figures and other relevant individuals. Due to the lack of registration, it was difficult to identify them or take action against any irregularities.
To address this situation, the authorities in Bangkok first initiated a process to compile a list of street vendors. Subsequently, registration was made mandatory, and the vendors were issued identification cards. Specific areas, designated spots for setting up stalls, and operating schedules were established for these registered vendors. At the same time, a system was introduced to collect a monthly government fee from them. According to available information, this fee was initially set at 100 baht, but was later increased to 1,500 baht.
This system brought the vendors’ businesses into a formal, institutional framework. Furthermore, by regulating the use of sidewalks, the movement of pedestrians and the management of vehicular traffic became more efficient. Today, various street markets and street food hubs in Thailand serve as major attractions for tourists. Similarly, in Singapore, well-planned night markets and hawker centers contribute significantly to both tourism and the local economy.
These experiences demonstrate that the livelihoods of street vendors and urban order are not mutually exclusive. With proper planning, it is entirely possible to ensure both. In fact, rather than allowing the unregulated occupation of sidewalks for business, a structured approach is far more effective.