Illegal vending has become a vexing problem in many San Francisco neighborhoods. Chinatown is no exception. At any given time there are 10 to 15 individuals selling a wide variety of foodstuffs on Stockton Street, from Clay Street to Pacific Avenue. This three-block stretch is known for its high concentration of specialized grocery stores, serving the Asian community as well as visitors.
“Now people come here and buy from the illegal vendors because it’s cheaper,” says Edward Siu, president and chairman of Chinatown Merchants, United Association of San Francisco. “Then they get sick and blame the merchants.”
At the intersection of Stockton and Jackson streets, Siu pointed out people selling an array of provisions, with crowds of potential customers examining the offerings. Dead fish and raw chicken were displayed on cardboard boxes, on stoops and the ground, unprotected from the sun, dirt, and car exhaust from Chinatown’s primary food shopping street. Eggs and produce as well as canned and packaged goods were also available for purchase.
The impact on Chinatown merchants
The frustration among legally operating merchants is intensifying as an increasing number of illegal vendors situate themselves close to the shops of those merchants.
Small business owners’ livelihoods depend on shoppers wanting properly handled meats, seafood, fruits and vegetables, and other consumables. The margins are tight. To operate, they must cover such costs as rent, insurance, employees, taxes, licenses, awnings, and security gates, all while adhering to the city’s strict health codes.
“[Illegal vendors] compete with our business but they don’t have to pay what we have to,” says Mei Zhu, owner of Mei’s Groceries. Zhu, who has been running her small shop for 10 years. As one example, she noted the display case extending two feet from the entrance of her shop, which costs her $300 a year in permit fees. “There are so many things we have to pay for, it’s very hard to make a profit here.”
Dead fish and raw chicken were displayed on cardboard boxes, on stoops and the ground, unprotected from the sun, dirt, and car exhaust from Chinatown’s primary food shopping street.
People who sell on the street bear no such financial obligations or health code responsibilities. Instead, they sell the items for a fraction of the prices charged by the lawfully operating small businesses.
“Customers see that they can get things cheaper so they go there,” says Zhu. “Maybe we sell green onions for $3, but they sell them for $2. We lose.”
Illegal lenders not responding to requests or warnings
“We tell [the illegal vendors] to please leave, and sometimes they do, but they come right back,” says Siu. “So we contact the mayor’s office, Department of Public Health (DPH) and Department of Public Works (DPW) and they promise to take action. But when they come they only give them a warning. Nothing happens, nothing stops. DPW says they don’t have IDs or they give false identification information.”
Our attempt to interview the illegal vendors was unsuccessful. Siu and I approached a woman selling a large fish on top of a plastic rice bag under the midday sun. She tried to block my camera, then quickly began to pack up and leave. Her absence was temporary, however. Approximately 10 minutes later she was in the same spot, with the same fish.
According to Siu, the sellers acquire the food in many ways, from purchasing it with their Electronic Benefit Cards, obtaining free items from food banks, or picking up unsold seafood from fishermen at the port.
“It’s not healthy to sell food like this,” says Peter Lo, a pharmacist for Wellness Pharmacy. “Stockton Street should be a place of safety. I tell them not to do this, but they don’t listen.”
Fish, meat, and eggs are particularly concerning because they are so perishable. Daisy Xian, owner of New Golden Daisy, says nothing that’s bought on the street is refrigerated. “The people who buy only care that it’s cheap,” says Xian. “But it’s not good. Even a lot of canned food is past the expiration date.”
City not responsive to merchants
Like many locals, Siu is upset with the lack of enforcement. “Don’t blame Chinatown,” he says. “We are doing what’s right. Blame the city because they’re not doing their job.”
Siu says he has contacted all the relevant city agencies for assistance. This situation used to be handled by the police, who would respond to calls and ensure that the illegal venders would leave. It was effective and efficient. Now, said San Francisco Police Department’s public information officer Robert Rueca in an email, “DPW and DPH are in charge of illegal vending enforcement.”
Rachel Gordon, DPW’s director of policy and communications, responded to our request for comment in an email. “DPH is the lead agency for the illegal sale of items such as fish, chicken and vegetables.” The rest of the consumables, such as canned, boxed, and packaged items appear to be DPWs department. “We team up with Public Health to take away the fresh food, at their direction, that they impound,” said Gordon. “We have had our inspectors on the ground in Chinatown a minimum of two days a week, but for the past week have been in Chinatown every day.”
Siu, though, has seen no change or improvement. “We call the city, we ask for help but nothing happens,” he says. “One illegal vendor has 41 verbal warnings and they’re still out here. Illegal vending is hurting mom-and-pop businesses, and it’s damaging our image. It’s hurting Chinatown.”