The administration of Tan Binh District in Ho Chi Minh City has decided to temporarily stop proceeding with a plan to demolish a 50-year-old market, apparently under pressure from vendor protests there.

The decision was made public to Tan Binh market traders in a document released on Sunday, Le Son, deputy chairman of the district, asserted at a Monday meeting with the municipal Department of Industry and Trade.

The district administration plans to replace the half-a-century-old market, one of the largest fabric wholesale markets in Ho Chi Minh City, with a six-story market and a 17-story shopping center.

The plan is expected to affect 2,956 traders, some of whom gave up their business over the weekend to go to the district headquarters and protest.

Hundreds of traders surrounded the district headquarters on Truong Chinh Street, causing traffic congestion, according to newswire Mot The Gioi (One World).

Traders said they would only resume business when the demolition plan is canceled, adding that they are willing to contribute money to help the district refurbish and upgrade the market. District authorities had said a new market is needed because the existing facility is too old and has already deteriorated.

By mid-day Monday, the traders had returned to the market and opened their booths, following the announcement from the district’s government.

At the Monday meeting, Le Ngoc Dao, deputy director of the industry and trade department, said the Ho Chi Minh City administration has successfully relocated a number of traditional markets and replaced them with modern shopping facilities.

“It is because the plans have been appropriately implemented and received support from traders who had to relocate,” Dao said, adding that Tan Binh District is encountering challenges possibly because it did not take the right approach to carrying out the plan.

Dao suggested that the district administration review its policy and proposal, as it does not protect the rights of traders, leading to their protests.

In response, Tan Binh officials pledged to continue listening to traders to find a solution that ensure the rights and interests of all parties involved in the demolition plan, including the government, traders, and the project developer.

Once a new solution has been worked out, it will be made accessible to traders for feedback again before being finalized, according to the district chairman, Chau Van La.

Tan Binh District has advised traders to keep calm and continue their business to ensure their income and protect the market’s image and reputation.

District authorities have taken several initial steps in the market demolition plan, including the planning for the new market and the trade center, as well as the selection of the developer for the project.

The current Tan Binh market sits on a 22,000 square meter land plot facing Ly Thuong Kiet, Phu Hoa, Tan Tien and Le Minh Xuan Streets in the crowded district.

The proposed new market will only occupy 15,000 square meters, while the remaining 7,000 square meter land lot fronting Ly Thuong Kiet Street will be home to a 17-story mix-used trade center, according to a Tan Binh District masterplan.

Tan Quang Co Ltd, a Vietnamese investment-construction firm, has won the contract to develop the new Tan Binh market, according to the district’s government. The company said investment is projected to be around VND2 trillion ($94.14 million).

The high-rise trade center, meanwhile, will be developed by a joint venture between the Tan Binh Public Utility Services Co Ltd and Tan Quang Co.

The proposed new Tan Binh market is scheduled to break ground in May 2016, and expected to open to traders in November 2018, according to the masterplan.

Market traders have voiced angry protests since the district announced the plan in a press conference on September 19, saying their business will be badly hurt, and opposing the unfair compensation proposal.

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