Vegetable vendors recover biz

Reliance Fresh’s veg biz hit by 50%, Subhiksha temporarily shuts its veg division.

Vegetable-vendors and fruit-sellers across Nashik, whose vegetable business had been hit badly due to opening of Reliance Fresh and Subhiksha stores during last few months, have restored their business as consumers have once again turned towards them.

On the contrary, the vegetable and fruit business of Reliance Fresh has been hit by 50 to 60 per cent at its 11 stores in different locations across the city during the last six to eight months as most of their vegetable consumers have moved away. Another major retail chain Subhiksha has temporarily closed its fruits and vegetables division at its 11 stores across Nashik for the last two months and its reason is yet not known.

The livelihood of close to 6000 vegetable-vendors and fruit-sellers across Nashik city was affected following the opening of retail stores of Reliance Fresh and Subhiksha, in the second half of the calendar year 2007. Initially, most of the consumers had diverted towards these retail stores. Vegetable markets within a radius of 2-3 kms from these stores had been hit badly due to the sale of vegetables and fruits in these retail stores. Pawan Nagar’s Jijamata Vegetable Market, where 150 vendors sell vegetables, had worn a deserted look due to absence of consumers.

"Initially, my business and livelihood was at stake as sales had been hit by 70-80 per cent due to opening of retail stores of Reliance Fresh and Subhiksha here. But, this effect was upto six months only. Now, I have recovered 90 per cent of my business. Consumers diverting to these retail stores was just a part of the attraction and curiosity, but we have won their trust back. They (consumers) have experienced that only vegetable-vendors can offer fresh and quality vegetables,” said a 49-year-old vendor, who sells fruits and vegetables at Trimurti Chowk market, which is at a walking distance of three minutes from Subhiksha store and 1.5 km away from Reliance Fresh outlet at Cidco.

Laxmibai, who sells vegetables in the same area, says, “When our consumers had diverted to these retail format stores, it had become really difficult to earn even Rs 30-40 a day. But today, with our customers returning, I earn a profit of Rs 100-150 a day." Other 60 vendors at Trimurti Chowk have also heaved a sigh of relief after restoring business.

Bandu Narayane, who sells vegetables at Jijamata Vegetable market (Pawan Nagar) just one km from Reliance Fresh store, said, "Our traditional occupation was at stake due to the opening of branded retail stores. But, this effect was for the first few months only. My daily sale of vegetables, which had come down to Rs 700 a day, has reached again to Rs 2500-3000 a day. This market, which had worn a deserted look, is brimming with consumers again.”

Sunita Pendse, a 45-year old housewife, says, “Initially, I bought vegetables from Reliance Fresh store. Now, I prefer buying vegetables from vegetable-vendors as I get fresh vegetables from these vegetable-vendors at the same rate. On the contrary, vegetables at retail outlets are stored for two-three days in their cold storages.”

“The sale of vegetable and fruits at its 11 Reliance Fresh outlets across the Nashik city has been affected 50 to 60 per cent during the last six to eight months due to decrease in demand,” Reliance Fresh official told Business Standard on condition of anonymity.

Subhiksha official, who did not want to be identified, said, “Subhiksha has temporarily closed its vegetable and fruits division at its 11 stores across Nashik for the last two months and it is expected to commence again within a month's time.” He avoided a comment on the reason to stop the sale of vegetable and fruits at its outlets.