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It seems the once-familiar sound of street traders calling out to passers-by will once again be heard around Shanghai.

The city will soon allow some vendors to do business in the city's streets, a surprising reversal from the long-standing "zero tolerance" policy on street trading.

City officials plan to issue a new directive regulation on street vending before May 1, according to the Shanghai Urban Management & Administrative Execution Bureau, the body charged with preserving the city's appearance and cleanliness.

The new regulation is expected to allow some peddlers and booths to operate on the street, though local residents will first have to give their approval.

Sun Zhixing, director of the bureau's environmental sanitation department, said street vendors would have to apply for temporary permission to resume their outdoor businesses. In addition, applicants must be residents of Shanghai for at least six months before applying.

"After receiving their applications, we will coordinate with other relevant government departments and local residents to decide whether to give them permission to operate," said Sun.

The bureau has estimated that there are more than 50,000 unlicensed street vendors currently working across the city, but some insiders say the number could be even higher. The new regulation is expected to loosen the previously strict restrictions on street vending and regulate the peddlers in a more flexible way.

Convenience to residents

"Since the number (of vendors) is really high, and since some of them do offer convenience to local residents, we have decided to allow a few to operate in the city," Sun added.

But unlicensed vendors who are involved in fortune-telling or who interfere with traffic will be punished, he said.

Many Shanghai residents have expressed their support for the new regulatory system.

"I think it is quite a reasonable solution to the issue of street vending. The government should be more discriminating in regulating vendors, instead of just getting rid of them," said Zhang Xiaotao, a Shanghai professional.

"Actually, most street vendors earn very little money and are vulnerable. They can offer diverse, convenient and very cheap services to their surrounding communities, for example, by repairing shoes and bicycles. And such services are usually not available in normal stores."

Shanghai is among the few cities in China to tolerate street vendors. And the new regulation will make it easier for such vendors to go into business.

(China Daily February 27, 2007)