Govt backtracks, clears road for vendors

The Centre is reversing its 2004 policy to accommodate all present and future vendors, giving them legal status to sell goods and services on footpaths, pavements and other public places.

The Centre is reversing its 2004 policy to accommodate all present and future vendors, giving them legal status to sell goods and services on footpaths, pavements and other public places.

8220;There should not be any cut-off date or limit imposed on the number of vendors who should be permitted to vend in any city or town, subject to registration of such vendors and regulation through the Town Vending Committee TVC,8221; says the 2007 National Policy on Urban Street Vendors. The policy of January 2004 allows vending space for a maximum of 2.5 per cent of the total town/city population. 8220;If aspirants to such locations exceed the number of spaces available, excess may be regulated by fees or lottery and not discretionary licences,8221; it says.

Incidentally, this guideline has been upheld by the National Commission for Enterprises in the Unorganised Sector which was appointed by the Government to review the present policy.

After talks with National Alliance for Street Vendors of India, Self Employed Women8217;s Association SEWA and Manushi, it recommended: 8220;Municipal authorities should regulate allocation of space based on previous occupancy. If the number of applicants exceeds the number of spaces available, a transparent system of selection such as lottery should be followed.8221;

However, citing street vendors8217; role in combating unemployment and poverty, the Ministry of Housing 038; Urban Poverty Alleviation has proposed that the excess demand over space constraint be regulated through 8220;time sharing on the basis of a roster8221;.

8220;A certain number of days or hours on a particular day could be fixed for each vendor on a roster basis through the concerned TVC, the vending activity will be regulated in such a manner that vendors remove all their wares every day or on expiry of the time-sharing period allotted,8221; it says in the proposal for Cabinet approval.

The vending right would be for one spot alone without any claim to either rent, lease or sell it to another person. The licence would initially be for 10 years, extendable by another 10 years, after which the vendor would have to make way for another considering he or she would have 8220;suitably enhanced his/her income8221;.

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As for mobile vending on cycles or motorised vehicles, this would be permitted in all areas, even outside the designated vendors8217; markets, unless the space is notified as 8216;No Vending Zone8217; by the TVC on the basis of location and time. Section 283 of the Indian Penal Code and Section 34 of the Police Act would be amended to exempt the hawkers from eviction. And its process would be more cumbersome with due notice to clear the space. If not adhered to within the specified time, a fine ranging from Rs 100 to Rs 2,000 would be levied and second notice issued. Physical eviction would be resorted to only if the squatter continues to occupy the space.

Other benefits that are being pushed are social security as proposed for the unorganised sector by the Labour Ministry, financing under the Credit Guarantee Fund Scheme for Small Industries and assistance in getting insurance.

Unlike the present policy, the new one is backed by a model Street Vendors Protection of Livelihood and Regulation of Street Vending Bill which makes it 8220;obligatory8221; for all states to constitute a TVC within a year of its enactment with up to 40 per cent representation from the vendors group.