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The government has confirmed that it will strictly regulate the minimum distance between hypermarkets and traditional markets.

Ardiansyah, Director General of Domestic Trade at the Trade Department, emphasized that the regulation will be included in the President Regulation on Modern Markets, which is now still being discussed.


This regulation, according to him, will provide guidelines for determining the distance between a hypermarket and a traditional market and also the formula for the amount of modern markets to serve how many people.

Ardiansyah acknowledged that the regulation was in fact one of the government’s measures to accommodate the demands of traditional markets’ traders.

“Traditional market traders don’t want to confront the hypermarkets, not modern markets in general,” he said in Jakarta last weekend.

Although the distances will be regulated, Ardiansyah said a more detailed zoning will be included in the Zone Planning and Municipal Detailed Zone Planning, which is covered by regional governments’ regulations.

He explained that under the current Jakarta regulations, these matters were already regulated.

“But what’s the realization like?” said Ardiansyah.

Muhammad Iqbal, Head of the Business Competition Oversight Commission (KPPU), supported the restriction for modern markets to be located only in the suburban areas, like in France.

The problem is how this is to be implemented and monitored.

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