Small-business groups pushed back against the plan to allow dawn delivery by big-box retailers, saying, "You can't burn down the whole thatched house to catch bedbugs."
The Korea Federation of Micro Enterprise (KFME), the National Council of Merchant Associations and the Korea Supermarket Cooperative Federation said in a joint statement on the 6th that they "express deep concern over the plan to 'allow dawn delivery by big-box retailers' that the ruling party and government are pushing under the pretext of consumer convenience and deregulation."
A day earlier, Democratic Party of Korea lawmaker Kim Dong-a introduced a bill to amend the Distribution Industry Development Act. The main point is to allow online delivery by big-box retailers and semi-large stores (SSM) without business hour restrictions. Under the amendment, existing offline business regulations for big-box retailers would remain, but online delivery, packing and removal would be freely permitted.
Small-business groups said, "The business hour limits and mandatory closure system at the heart of the Distribution Industry Development Act are the 'minimum safety net' and a 'symbol of coexistence' that have protected neighborhood commercial districts and traditional markets from the indiscriminate expansion of large retail chains backed by massive capital," adding, "This move directly denies that legal intent and is no different from handing over the livelihood rights of 7.9 million small-business owners to conglomerates."
They added, "At a time when small-business owners are already driven to the edge of a cliff by the rapid growth of online platforms, giving big-box retailers the wings of dawn delivery is tantamount to completely cutting off the lifeline of neighborhood commerce," and argued, "The outcome of competing with conglomerates that monopolize capital and logistics networks is not 'competition' for small-business owners, but 'indiscriminate slaughter.'"
They also voiced concern that allowing dawn delivery by big-box retailers as an alternative to reduce dependence on Coupang could create a conglomerate monopoly system.
Small-business groups said, "As reported by the media, allowing dawn delivery by big-box retailers to keep Coupang in check is 'like burning down the whole thatched house to catch bedbugs,'" and explained, "Supporting and nurturing traditional supermarkets and traditional markets is the most powerful way to counter online platforms' dawn delivery."
They added, "The mandatory holiday closure system, which was gutted under the previous administration, must be re-legislated, and even large food-material retailers that disrupt the distribution ecosystem must be included in the regulations," and said, "If dawn delivery by big-box retailers is allowed, we will mount a strong resistance, including filing a constitutional complaint."