Rising costs at the Punggol Coast hawker centre are drawing criticism from stallholders, who report potential impacts on sales and express concerns about management support. A stallholder, who requested anonymity citing fears of reprisal, detailed significant increases in fees following licence renewals in 2024.
Cost Increases Detailed
According to a letter from Timbre, dated August 13, 2024, the increases were implemented in two phases to “mitigate the effect” on stallholders and reflect “current market conditions.” Timbre stated it continues to subsidize “overall costs at the centre level.” However, the stallholder described the charges as unavoidable, stating, “we had no choice” but to accept them.
The first phase, from August 15, 2024, to August 14, 2025, saw non-variable monthly charges increase by S$480 (US$370). This included a rent increase from S$1,620 to S$1,800, service and conservancy (S&C) charges rising from S$150 to S$250, and table cleaning fees jumping from S$500 to S$700. Variable costs also increased, with dishwashing rising from 12 cents to 20 cents per piece, and a monthly charge, capped at S$150, introduced for kitchen exhaust fan use.
A second phase, from August 15, 2025, to August 14, 2027, will see only S&C charges increase further, by S$100 to S$350.
Impact on Businesses
The stallholder reported a potential 10 percent drop in sales following the opening of Punggol Coast. She also expressed frustration with Timbre’s response to suggestions for increased marketing, stating she was asked to specify what kind of marketing she envisioned, adding, “If we know what to do, we will do it ourselves already.”
Mdm Lim, the stallholder, indicated that she currently pays between S$2,100 and S$2,200 monthly for table cleaning and dishwashing alone. Despite describing her S$2,000 monthly rent as “a very good rate,” she emphasized the importance of supportive management.
What’s Next?
Timbre reserved the right to not renew licenses for stallholders with outstanding payments by August 14, 2024. It is possible that some stallholders may struggle to meet the increased financial obligations. A possible next step could involve further dialogue between Timbre and stallholders to address concerns and explore potential solutions. It is also likely that stallholders will continue to monitor sales figures to assess the long-term impact of the cost increases.
Frequently Asked Questions
What specific costs increased for stallholders?
Rent rose from S$1,620 to S$1,800, service and conservancy charges went up from S$150 to S$250, and table cleaning fees jumped from S$500 to S$700. Dishwashing costs and kitchen exhaust fan usage also saw increases.
When were these cost increases implemented?
The first phase of increases took effect on August 15, 2024, and will last until August 14, 2025. A second phase of increases is scheduled for August 15, 2025, to August 14, 2027.
What was Timbre’s justification for the cost increases?
Timbre stated the increases reflected current market conditions and that they were still subsidizing overall costs at the centre level. They also said the increases were implemented in phases to help mitigate the impact on stallholders.
How might rising costs at hawker centres affect the availability and affordability of local food options for consumers?
