Local supermarket owners are urging the government to halt discussions on allowing early morning deliveries by large retailers and to quickly implement support measures for local businesses. They express growing concern as the influence of online platforms and large retailers continues to rise, despite indicators of economic recovery.
On August 12, the Korea Supermarket Cooperative Federation and the People's Solidarity for Participatory Democracy held a press conference in front of the Cheong Wa Dae fountain, stating, "While government statistics may indicate economic recovery, local supermarkets are contemplating closure due to the ongoing crisis in the local economy." They called for urgent measures to address the challenges faced by local businesses.
According to the Small Enterprise and Market Service, the Business Sentiment Index (BSI) for small businesses was 55.6 in July, a drop of 8.0 points from the previous month, with an outlook BSI of 71.0 for August, down 6.3 points in a month. A BSI below 100 indicates worsening economic conditions, while above 100 suggests improvement.
The number of supermarkets has also significantly decreased. The National Tax Service reported that the number of supermarkets, which exceeded 28,000 during the height of the COVID-19 pandemic in 2022, fell to 26,588 as of June this year.
While the government has announced budgets and policy funds for small businesses, the federation pointed out that there are no structural measures to help small business owners in the local economy increase sales and enhance competitiveness.
They also expressed concerns over the expansion of business areas by companies like Coupang, Daiso, and Baedal Minjok's B Mart, which have exacerbated their difficulties. In particular, they voiced strong apprehension regarding discussions on allowing early morning and late-night deliveries by large retailers.
The federation stated, "There are moves to allow late-night deliveries by large retailers under the pretext of countering Coupang. We must strengthen regulations on online platforms and large retail companies and withdraw the policy allowing late-night deliveries by large retailers." They also proposed expanding support for AI-based shared logistics centers necessary for small retailers and easing regulations for small business owners.
They demanded a meeting with the President. Jeong Yeon-hee, president of the Korea Supermarket Cooperative Federation, noted, "While the President has met with large business leaders to hear their difficulties and discuss necessary support, there has been no such dialogue with small business owners. We urge an immediate halt to discussions on late-night deliveries and a direct meeting with representatives of local supermarkets."
* This article has been translated by AI.
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