Street vendors may appear to be a marginalized segment of the commercial market, but they contribute a significant 72 percent to the income generated in Karachi. Although, they are considered part of the informal economy but street vendors in Karachi often face encroachment operations without any notice.
Thousands of carts in Karachi operate regularly, in the markets, streets, roads, and other parts of the city, but most of them are considered illegal because they are occupying extra spaces, disturbing the traffic, and encroaching on public property.
These street carts have no legal space and do not fall under any economic legislation in Pakistan. The administration of the Karachi Metropolitan Department has the authority to remove them to provide space for traffic and other activities.
Research conducted by the Pakistan Institute of Development Economy in 2021, disclosed that in Karachi 72 percent of employees were working under the umbrella of an informal economy. The number proves that the economic hub not only generates income from industries or small businesses but street vendors also play a great role in creating revenue for the country.
Karachi’s district south is the biggest hub for hawkers where a large number of carts operate in front of shops, footpaths, parks, and open spaces.
In the same district, in Empress Market, the administration had conducted a mega operation on the order of the Supreme Court of Pakistan in 2018 when a large number of illegal spaces, shops, and other encroachments were demolished. According to the data and news publications, more than two thousand shops were demolished in November 2018 in a bid to restore the market to its actual condition in accordance with the British era.
During that operation, thousands of carts had been removed from Saddar town, however, after four years since operation these carts are still operating and often KMC often tries to dismantle their activities.
As per data provided by the KMC anti-encroachment department stated that in compliance with the order of the Supreme Court and under the directives of the administrator Karachi, the department had removed 4,625 carts from district south from Nov. 5, 2018, till July 2023. The data depicts that KMC had also removed 3877 thailas from District Central, 2951, and 1910 from District East and Korangi respectively.
In the last four and a half years, the anti-encroachment cell ejected 13,660 carts that were allegedly operating unlawfully.