A raw deal?

SHARITK.BHOWMIK

Workersintheinformalsectoraccountforaround92%of
thetotalworkforceinIndia.Accordingtothe1991census
the total number of employed was 317 million. Of these
only 27 million were employed in the organized sector
andtherestwereintheunorganizedsector,amajorityof
them selfemployed. Hawkers and street vendors fall in
thiscategoryandconstituteasignificantproportionofthe
urbaninformalsector.

This paper examines the various perceptions about

hawkers, especially those of the civic authorities,
sections of the urban population and the hawkers
themselves. Much of the data is based on preliminary
resultsofastudyofhawkersineightcitiesconductedby
theNationalAllianceofStreetVendorsofIndia(NASVI).*

ItmayberecalledthatHartdevelopedtheconceptofan
informal sector in his study of markets in Ghana.1 He
foundthattherewerescoresofvillagerswhomigratedto
the towns to sell their products while others hired out
their services as casual labour. Since these people
rendered services which were unlicensed, or did not
involve legal contracts and were thus unprotected, they
werecategorisedastheinformalsector.

It was believed that as these societies developed the

informal sector would be absorbed into the
formal/organized sector. This belief was subsequently
found to be incorrect. Far from being absorbed into the
organizedsector,theinformal/unorganizedsectorhasin
factexpandedinallcountries,includingdevelopedones.
However, what is significant is that it was through the
existence of hawkers that the concept of an informal
sector was developed. Hawkers, thus, are not only a
significantpartoftheinformalsectorbutanintegralpart
oftheurbaneconomy.

Hawkers perform a number of services for the urban

population, especially for the economically weaker
sections. They sell cooked food, fresh vegetables,
household goods, clothes and other articles of
consumption. Their rates are usually lower than those
chargedbyshopsandstoresandhenceaffordabletothe
urban poor. Moreover, their services are easily
accessibletoconsumers.

In most Indian cities, the urban poor survive by working

in the informal sector. Poverty and lack of gainful
employment inthe rural areas and smaller towns drives
largenumberstothecitiesforworkandlivelihood.These
people generally possess low skills and lack the
education required for betterpaid jobs in the organized
sector. Besides, permanent/protected jobs in the
organized sector are shrinking hence even those with
therequisiteskillsareunabletofindproperemployment.
Forthesepeople,workintheinformalsectoristheonly
avenueforsurvival.Thishasledtoarapidgrowthofthe
informalsectorinmostmetropolitancities.

In 1961, for example, 65% of Mumbais workforce was

employed in the organized sector while 35% in the
unorganized/informalsector.2Thirtyyearslater,in1991,
the proportion had reversed and only 35% of those
employed were in the organized sector and the rest in
the informal sector.3 For the urban poor, hawking
provides a major avenue of earning a livelihood as it
requires minor financial inputs and low skills. A large
section of the urban hawkers are either illiterate or with
only a few years of schooling.4 A study of hawkers in
Mumbai showed that onefourth of them were illiterate.
The cost of the wares they sold varied between Rs 500
andRs2000.5

Thesefactorshaveledtoagrowingpopulationofhawkersin
themajorIndiancities.Mumbaihasthelargestnumber,around
200,000 Ahmedabad and Patna 80,000 each and Indore and
Bangalore 30,000 hawkers. Calcutta has more than 100,000
hawkers.Theyinturnprovideadditionalemploymenttomany
others who assist them in their work. The total employment
providedthroughhawkingisthereforefairlylarge.

Besides, many of the goods sold by hawkers, such as clothes

andhosiery,leatherandmouldedplasticgoods,andhousehold
itemsaremanufacturedinsmallscaleorhomebasedindustries.
These industries employ a large number of workers. The
manufacturers could hardly have marketed the products on
their own. Hawkers, therefore, not only provide a market for
manufacturers,theyalsohelpsustainemploymentinindustry.
Theseaspectsare,however,ignoredbytheurbanauthorities
themunicipalityandthepolicebecausemoreoftenthannot,
hawking is considered an illegal activity and hawkers are
treated as criminals. Below, we review municipal laws
prevalentinsomecities.

LetusstartwithCalcutta. TheLeft Frontgovernment which

has ruled the state of West Bengal for 23 years, boasts of
propeople and propoor policies. However, for the hawkers it
wasperhapstheharshestregime.Thestategovernmentandthe
Calcutta Municipal Corporation, which too is controlled by
constituentsoftheLeftFront,launchedthemostsevereattacks
on hawkers. On the night of 2627 November 1996, nearly
100,000 hawkers were forcibly evicted by the police and
municipal authorities and their goods, valued at crores of
rupees, confiscated. Operation Sunshine was by all accounts
themost brutalaction against vendors. No other municipality
in the country has resorted to such extreme measures to
suppresstheurbanpoor.

But matters did not end there. In 1997, the state legislature,
throughanamendmentoftheCalcuttaMunicipalCorporation
Act, declared any form of unauthorised occupation of streets
and pavements by hawkers a cognisable and nonbailable
offence. Such an offence could lead to imprisonment or
imposition of a fine or both.6 What is more appalling is that
while offences such as rape and homicide are bailable, a
vendorwhoattemptstoekeoutanexistencebysellinggoods
onthestreetisconsideredadangerouscriminal.

The government was unable to enforce this legislation

because of resistance from the hawkers. During Operation
Sunshine,allunionsofhawkersinthecity,withtheexception
of those affiliated to CITU, formed a joint front known as
Hawkers Sangram Committee. This organization was
effective in preventing further eviction of hawkers and in
rehabilitatingthoseevicted.

Thoughmunicipalandpolicelawselsewherearenotassevere
as thoseinCalcutta,they too tendtocurb hawking.In Patna,
hawkers are restricted by the Bihar Police Act (section 34)
which states that any person exposing goods for sale on the
streets is liable to arrest by the police without a warrant. The
magistratecanimposeafineorsentencetheguiltytojail.The
municipalities in Karnataka are expected to provide licenses
for hawkers who sell vegetables and provide suitable spaces
forthem.However,licensescanbegrantedonlyforpermanent
structures (shops, kiosks, etc.).7 Most hawkers selling
vegetables near the municipal markets in Bangalore squat on
thepavementsandarethusineligible.

InMumbaiandAhmedabadhawkersareevictedmainlyunder
sections 102 and 107 of the Bombay Police Act (this act and
the Bombay Municipal Corporation Act are applicable to
MaharashtraandGujarat).Thesesectionsstipulatethatanyone
preventingsmoothflowoftrafficcanbearrested.TheBombay
MunicipalCorporationActpreventsanyonefromsellinggoods
or blocking pavements without a license. Incidentally, the
BMC issued only 14,000 licenses whereas there were over
200,000hawkersinthecity.

Therighttoregulatethestreetsrestswithtwoauthoritiesthe
traffic police for motorable roads, and the municipal
corporation for use of pavements. The latter is empowered to
removeillegalconstructionorencroachmentonthepavements.
Whenhawkersare evicted, theirgoodsareconfiscated bythe
municipal authorities. A fine has to be paid before the
confiscated goods are returned. At times, as in the case of
handcartsellersinMumbai,thefine(Rs5,000)oftenexceeds
thevalueofconfiscatedgoods.

Mostcitieshavepoliceandmunicipallawsthathelptoprotect
public spaces and allow free flow of traffic on the roads.
Hawkersarethevictimsoftheselawsbecausetheyareviewed
asthemainobstructersandencroachers.Themanyotherforms
of encroachment are overlooked by the municipal authorities
andthepolice.Therapidincreaseofvehiclesonroadscreates
problems, not only of traffic congestion but also of parking
space. Shops often encroach onto pavements by illegal
extensions nor is it uncommon to find residents grabbing
public space in front of their houses/buildings for private
gardens. Such encroachments are tolerated and in most cases
regularised by the municipal authorities. Municipalities rarely
pull down illegal extensions by the shop owners they are
contentwithissuingthemnoticesandattimesimposingafine.

In order to prevent illegal parking, municipalities create

parking lots in public spaces. For example, in the upmarket
southMumbaiarea,thewideroadsinFortandMahatmaPhule
market were cordonedoff for parking. In fact, the wide
pavement opposite the Municipal Corporations office was
made into a car park. On several of the citys pavements the
government has set up hundreds of permanent counters for
sellingfood,8 allegedly for the poor. These structures occupy
more than half the pavement and obstruct pedestrians more
drastically than the hawkers. Moreover, these are permanent
constructionswhichcannotberemovedwhilehawkerscanbe
relocatedifnecessary.Yettheflakforcreatingcongestionon
theroadsisborneonlybythehawkers.

Who are the hawkers? Our findings are based on a

socioeconomicstudyconductedbyNASVIofhawkersinsome
cities(seefn.4).Theresearchersineachofthecitiescovered
around 300 hawkers from different areas selling a variety of
items.

It was found that a majority of the hawkers were males.

Ahmedabad had a large section of women vendors while
Calcutta few women vendors. Imphal on the other hand had
onlywomenvendors.Intheothercitiesmorethan60%ofthe
hawkersweremales.Notsurprisingly, the volumeof trade of
female hawkers was much lower. In Ahmedabad and in
Mumbai,womenhawkersusuallysoldvegetables,flowersand
fruitsinsmallquantities.Thewomenwerepoorandneededto
hawk in order to supplement the meagre family earnings. In
Imphal too, where hawkers were exclusively women, they
werefromthepoorersectionofthepopulation.

As mentioned earlier, people with low level skills take to

hawking as a form of existence. In Mumbai and Bangalore
around25%ofthehawkerswereilliterate,theproportionbeing
higher in the other cities. Around 80% of the hawkers in the
cities covered by the survey were either illiterate or had read
up to middle school (eighth standard). The others had
completed high school and a few were graduates. The most
common reason for joining this profession was because
hawking was considered more respectable than other jobs
available intheunorganizedsector. Another important reason
was the low investment required. They could start by using
theirownsavingsorborrowing from friends and relatives. In
Mumbai, we found a number of respondents (20% of the
sample) who were earlier employed as workers in the
organized sector (mainly textile mills) but had lost their jobs
duetoaclosureofthemills.
The daily income of the hawkers ranged from Rs 50 to Rs
1,000. The survey conducted by TISSYUVA in Mumbai (see
fn.5)computedtheaverageincomeasbetweenRs50toRs80
per day. Our study showed that incomes varied but most
women earned between Rs 30 and Rs 60 whereas the men
earnedbetweenRs50andRs150.InPatnaandBhubaneshwar
theaverageincomeofahawkerwasRs50aday,i.e.,around
Rs1,500amonthandinBangalorenoneofthehawkersearned
morethanRs3,000amonth.Hence, across citiestheincome
wasmoreorless similar rangingfrom Rs 50 toRs 100per
day.

The above mentioned income does not include bribes or

protection money paid by hawkers to the local authorities
(municipalandpolice)andlocalgangsters.TheNASVIstudy
foundthathawkersparted withbetween 10% to 20% of their
earnings to authorities and goons who acted as their
protectors.Thesituationwasmoreorlessthesameinother
citiescoveredbythisstudy.

The intensity of extortion varied between cities as also in

areaswithinthecity.Inareaswhereunionshadresistedpolice
andmunicipalharassment,thecollectionofbribeswaslow.In
someareasthelocalunion,usuallyrunbygangsters,undertook
regular collections from the hawkers as protection money. A
partof the collection was handed over to the police. Besides
thesecollections,hawkerswereconstantlypressurisedbylocal
youthduringfestivals(HoliandGaneshChaturthiinMumbai,
Durga Puja and Kali Puja in Calcutta). The total income of a
hawkerwasthusconsiderablyreduced.

Inordertoearntheirmeagrelivelihood,hawkersneededtoput
in at least 10 to 14 hours of hard work. Those who sold
perishablegoodslikefruitsandvegetablesspentanadditional
coupleofhoursinthemorningtoprocurethesegoodsfromthe
wholesalemarketsorthroughagents. InImphal,for example,
the markets were at their peak from 6.30 to 8.30 am. The
women selling fish and vegetables started work at 4 am and
returned home at around 12 noon. They came back to the
marketat5pmandgotbacktotheirhomesonlyat8.30pm.In
the other cities hawkers spent at least 12 hours at work. In
somecases,asinPatna,wheretheyhadtowalklongdistances
fromtheirhomes,thetimespentwasbetween14to16hours.

Few hawkers lived near their place of work. Hawkers in the

workingclassareasofcentralMumbai(LalBagh,Parel,etc.)
resided in nearby chawls or hutments, but even there they
worked from 10 am till 8.30 pm. Those at other places,
especiallythebusinessdistrictinsouthMumbai,travelledlong
distancesbysuburbantrainsorbybus.Forexample,wefound
that a large section of hawkers in the Fort area lived in the
suburbs. They closed their business at 10 pm while they left
theirhomesat7am.

In Patna, only 21% of the hawkers had workplaces near their

homeswhile53%travelled10to12kms.Theydidsoonfoot
astheotherformsoftransport(autorickshaworcyclerickshaw)
were too expensive. This added another three hours in
commuting time. A large number of hawkers in Calcutta,
especiallythosesellingcutfruitsandfooditemsinthebusiness
district of BBD BaghEsplanade and those selling vegetables
near the municipal markets, resided in the neighbouring
villages of the city. They left their homes at 4 am to collect
goods and boarded suburban trains at 6 or 7 am in order to
reachtheirplacesofworkby9or10am.

Theremunerationforhawkerswaspoorcomparedtotheeffort
they had to put in. An overwhelmingly large number of
hawkersworkedunderimmensephysicalstraininordertoearn
aliving.Besides,theywereunderconstantfearofevictionand
harassment.

In order to assess the views of those who bought goods from

hawkers,theNASVIstudyinterviewedaround150consumers
from each of the cities. We note below some of the main
findings.

Ingeneralitwasfoundthattheeconomicallyweakersections
ofurbansocietythelowermiddleclassandthepoorwere
the main beneficiaries as they procured their necessities at
lowercostsfromthehawkers.Thestudyfoundthateventhose
from the betteroff sections of society patronised hawkers. In
Mumbai the richer sections bought fruit and vegetable while
theyouthpurchasedclothesfromthem.Thegarmentsellersin
Fashion Street and Colaba Causeway, both in south Mumbai,
Linking Road in Bandra in the western suburbs, had regular
clients from the upper classes. The vegetable markets in
Bandra,VilleParlerailwaystationandSantaCruz(west)had
clientswhowereeconomicallybetteroff.However,amajority
of the consumers were from the middle and lower middle
classes.

ThemainbeneficiariesofthefoodhawkersinMumbaiwere
the poorer sections, especially those working in offices and
commercialestablishments.Itisestimatedthataround30%of
Mumbaisworkforceate at least one meala day buyingfrom
hawkers. The food they got was cheap and filling. These
peoplewouldhavespentfarmoreiftheyateinrestaurants.In
Mumbai the average middle class consumer spent around Rs
1,000 a month in purchases from hawkers for household
consumption. The expenditure would be higher if it included
the purchases of cigarettes, pan etc. Those from the lower
middleclassandthepoorspentbetweenRs500toRs800per
month.

The survey in Calcutta showed that 82% of the consumers

boughtvegetablesdaily,ormorethanthreetimesaweek,from
hawkers.Other items purchased from them included pan and
cigarettes, tea and snacks, and newspapers and periodicals
while at work. It was found that on average the middle class
consumerspentRs1,700amonthinpurchasesfromhawkers.
ConsumersinBangalore(95%)spentbetweenRs5andRs100
on purchases from hawkers each day. In Ahmedabad 68% of
theconsumers,allofwhombelongedtolowermiddleclassor
thepoor,purchasedgoodsworthRs550toRs1,000amonth.
Forthosebelongingtothemiddleclass,purchaseswerearound
Rs1,500amonth.


In the other cities too it was found that a middle class

consumerpurchasedgoodsworthmorethanRs1,000amonth
fromhawkerswhilethosefromthelowermiddleclassbought
goods worth Rs 800. While comparing the income of the
differentgroupswiththepurchasesfromhawkers,itwasfound
thattheproportionoftheincomespentinbuyingfromhawkers
wasdefinitelyhigherastheincomelevelsdecreased.Inthese
cities, besides purchasing the basic necessities from fair price
(ration)shops,thelowermiddleclassandthepoorboughtall
theirrequirementsfromhawkers.

In Mumbai, consumers preferred hawkers because services

were provided at convenient places, saving them time. They
feltthathawkersneartheirhomesandneartherailwaystations
weremostconvenientlyplaced.Thiswasimportantasitsaved
timeandenergyafteralongdayswork.

In Patna 76% of the consumers preferred hawkers because of

convenience and saving of time while 44% preferred them
becausetheyprovided fresh vegetables. In Bangalore 83% of
theconsumerspurchasedgoodsfromhawkerswhovisitedtheir
homes(mobilehawkers)oratthelocalmarket.Theyfeltthat
mobilehawkerswereconvenientandprovidedfreshandcheap
vegetables. Consumers in Ahmedabad too preferred them for
the same reasons. Onefourth of those interviewed patronised
foodhawkersbecausethefoodtheysoldwastasty.

While commenting on the negative aspects of hawking,

consumersinallcitiesstatedthattheyclutteredthepavements
androadsandcausedinconveniencetopedestrians.Theyalso
felt that hawkers contributed to the filth in the city. Other
complaintsincludedcheatinginweighingconsumersinPatna
and Ahmedabad complained about mobile vendors who
disturbedthematoddhours.

Hawkers have been a part of the urban scenario for long and
arenowafeatureofthelifeofourcities.However,thisisnot
the only reason for their continuance. The increasing
proportion of the urban informal sector coupled with a
shrinkingoftheorganizedsectorhaveaddedtothenumberof
hawkersintwoways.

First, as noted earlier, for the low skilled migrants seeking

employment in the city, hawking is a means of earning a
livelihood.Inthiswayasectionoftheurbanpoorareabsorbed
into gainful employment. Furthermore, the numbers have
increasedduetolargescalelayoffsinorganizedindustry.Many
retrenched workers are able to provide for their families by
taking to street vending. The study conducted by NASVI
shows that around 20% of the hawkers covered in Mumbai
wereoncepermanentemployeesintheorganizedsector.

In Ahmedabad, around 30% of the male hawkers had

previously worked in large factories. In both cities a large
numberoffactories,especiallytextilemills,hadcloseddown.
Asaresult,thecompositionoftheworkforcehadsignificantly
changed. It was noted earlier that over 65% of Mumbais
workforce was in the unorganized sector and in Ahmedabad
thissectorengagedmorethan75%ofthecitysworkforce.In
both cities a decline in the manufacturing sector has led to a
sharpincreaseintheservicessector.

Thesecondreasonforanincreaseinhawkersisthegrowing
number of urban poor. These people procure their basic
necessities mainly through hawkers, as the goods sold are
inexpensive.Hadtherebeennohawkersinthecities,theplight
of the urban poor and lower middle class would have been
worse.Itwouldhaveledtogreatersocialproblemsandunrest.
Inthiswayonesectionofurbanpoor,namely,hawkers,helps
anothersectiontosurvive.Hence,thoughhawkersareviewed
asaproblemforurbangovernance,theyareinfactasolution
to the problems of the urban poor. By providing cheaper
commodities hawkers are subsidising the urban poor,
somethingwhichthegovernmentoughttodo.
Aproliferationofhawkersintheurbanareasismainlyaresult
ofthetwofactorsdiscussedabove.Abanonhawkingwillonly
aggravate the problems of the urban poor. It will not only
deprive a section of the urban population from gainful
employment but will increase the cost of living for the poor.
This,inturn,willleadtoanincreaseincrimeaffecting public
safety.Atthesametimeitcannotbedisputedthathawkersdo
createproblemsforpedestriansandcommuters.However,the
solution lies not in banning or curbing hawking but in
regulation. This can only be achieved once the municipal
authorities stop treating hawkers as antisocial elements.
Hawkingcanberegulatedonlyifitislegalised.

Sofarwehaveexamineddifferentaspectsofhawking.Though
hawkers perform an important role in urban life their
importanceisconsiderablyunderminedbythegovernmentand
localadministrationbecausemoststatelegislatureshavemade
hawking an illegal profession and hence hawkers are under
constantthreatofevictionandvictimisation.Atthesametime
it is evident that hawking cannot be done away with, not
merely because of the large number of people who are
dependent on it for their livelihood, but also because the
common urban dweller benefits from their services. Hawkers
existbecausetheconsumerswantthemtoexist.

There are no legal reasons for preventing hawking. In 1989

the Supreme Court, in a major judgement, ruled that every
individual has a fundamental right to earn a livelihood.9
Hawking is thus a fundamental right provided it does not
infringe on the rights of others. The Court directed all state
governmentstoregularisehawkingthroughzones.Despitethe
Courts directive, few state governments have moved their
municipal authorities to make adequate provisions for
hawking.ThemunicipalauthoritiesinMumbai,Delhi,Calcutta
andBangalorehavetriedtocreatezones,butinmostcasesthis
has led to protests from hawkers as well as residents
associations.
Theunfortunatepartoftheaboveeffortsisthattheproblemis
looked at in a piecemeal manner. A broad and holistic
approach is needed to find solutions. For example, while
formulatingurbanplansitisnecessarytotakeintoaccountthe
right of hawkers to public spaces. All urban plans demarcate
publicspacesforspecificpurposessuchasparksandgardens,
educational institutions, hospitals and so on. Hawking too
needstobeincludedinthisexercise.

Plans must take into account the idea of natural markets in

urban areas. These are usually the most convenient spots for
consumers.Thesemarketsneedtobedevelopedandregulated
insteadwefindthattheauthoritiesforciblytrytoremovethem.
Forexample,oursurveyofconsumersinMumbaishowedthat
most of them bought goods from hawkers near the railway
stations. Instead of developing the area around the stations as
natural markets, the municipal corporation is determined to
evict hawkers from these places. This will result in people
losing their livelihood and the consumers being
inconvenienced. Similarly, areas around municipal markets,
major bus stops, places of worship, hospitals, public places
emergeasnaturalmarketswhichneedtobedeveloped.

Therecognitionofhawkingasaprofessionwouldalsobenefit
themunicipalityasitwouldbeabletoofficiallyenforcelevies.
Forexample,inImphal,whichisperhaps the only city where
hawkers are included in the urban plan, the municipality not
onlyprovidesspaceforthembutalsochargesafeeforgarbage
collection and sweeping, besides collecting licence fees. In a
citylike Mumbai such fees could amount to several hundred
croresofrupeesannually.Instead,thehawkersenduppaying
evenmoreasbribestopreventharassment.

Forthehawkers,legalrecognitionwouldmeanthattheyhavea
right to their profession, which would in turn loosen the
stranglehold of corrupt officials, policemen and gangsters. It
wouldenablethemtoraiseloansfrompublicinstitutions,thus
reducingtheholdmoneylendershaveoverthem.


Footnotes

*TheauthoristhecoordinatorofthestudyinitiatedbyNASVIonhawkers.

1. Keith Hart, Informal Income Opportunities and Urban Employment in

Ghana,JournalofModernAfricanStudies11(1),1973,pp.6189.

2. Heather Joshi and Vijay Joshi, Surplus Labour and the City: A Study of
Bombay,OxfordUniversityPress,NewDelhi,1974.

3. Mumbai Metropolitan Region Development Authority (MMRDA), Draft Plan

for19952005,Mumbai,1997.

4. This is based on the data collected for a study carried out by the National
Alliance of Street Vendors of India (NASVI) in eight cities. The cities are:
Mumbai, Calcutta, Ahmedabad, Bangalore, Patna, Bhubaneshwar, Imphal and
Indore.Aresearcherwasappointedineachofthesecitiestocollectinformation
onvariousaspectsofhawkingandstreetvending. This included municipal and
police laws, study of urban plans to assess the use of public space, mapping of
hawkers organizations, socioeconomic study of hawkers and the perception of
consumers.Someofthedatacollectedhasbeenincludedinthispaper.

5. Census Survey of Hawkers on Municipal Lands conducted by the Tata

Institute of Social Sciences (TISS) and Youth for Unity and Voluntary Action
(YUVA)onbehalfofBrihanmumbaiMunicipalCorporationinMarch1998.

6. The Calcutta Municipal Corporation (Second Amendment) Bill, 1997, The

CalcuttaGazette,19November1997,Calcutta.

7. Karnataka Municipalities (regulation and inspection of private markets,

slaughterhouses and other places of sale of articles intended for human food)
Byelaws,1966.

8. These shops were supposed to provide zunka bhakar, a low cost traditional
mealforthepoor,andweregiventotheallegedlyunemployedpartycadreofthe
Shiv Sena. This project was discontinued within a couple of years of its
inception.Theshopswereallowedtosellothereatables.

9.SodhanSinghvsNDMC(1989,4SCC155).