Abu Dhabi Souk to be demolished

The shopkeepers at the Souq, a haven for the bargain hunters in the capital, are in a fix as only five per cent may be able to relocate their businesses temporarily to other places until a new market is constructed, as a deadline issued by the Abu Dhabi Municipality warning the tenants to vacate the market immediately or face power cut expired on March 1.

By Haseeb Haider

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Published: Sun 7 Mar 2004, 12:18 PM

Last updated: Wed 26 Oct 2022, 1:10 PM

The Abu Dhabi Municipality is to start the demolition work on the 35-year-old souq to replace it with another souq, a masterpiece of modern Arab architecture which would be yet another jewel in the crown of Abu Dhabi. It would also create underground parking spaces for over 1,300 vehicles in the centre of the city, as the municipality wants to address the issue of parking which is becoming a serious matter.

The planned New Souq, which would be centrally air-conditioned would house banks, administrative offices, cafeterias and play areas for the children, besides other facilities so that it can draw residents in big numbers.


Over 950 shopkeepers of eastern and western wings of the Souq were issued a first warning in November last year to vacate the building. Though the March 1 deadline was the final one, the Municipality has not yet moved ahead to cut power, which has allowed shopkeepers to continue their business and maximise sales by offering massive discounts.

Business is as usual at the Souq, which is known for its peculiar hustle-bustle, like any other bustling bazaar in Delhi or Karachi in the subcontinent, and Cairo or Baghdad in the Middle East.

The Souq, known for the best prices, caters to the needs of lower and medium income groups living in the emirate, who are not brand-conscious.

But, uncertainty and confusion can be seen in the faces of shopkeepers doing business there, as only five per cent of them have so far managed to find suitable places to relocate their businesses temporarily.

The capital city is already in high demand for shop spaces, and with the demolition of the Souq, at least 950 shops would need to be shifted.

"The shopkeepers and their over 2,500 confusion-ridden salesmen are doing business as if it is their last working day. No one knows about the coming day," a shopkeeper said.

"We received a notice during last Ramadan to vacate the shops by March 1, following which power would be cut. I tried to find a space for my business, but couldn't" said Abdul Rehman, a shopkeeper, who sells Arabic perfumes.

With the demolition of at least 15 old buildings to clear the way for new structures, and no major commercial centre being built, the problem for shop spaces is getting even worse as rents have skyrocketed in the city during the last two years, since a large number of aspirants are chasing few shop spaces.

On the other hand, time is running out for the Municipality to start the demolition work on both the eastern and western wings, commonly known as the Old and the New Souq.

So, it is in no mood to relax the deadline; it is eager to complete the project, which could reflect the image of the country's rich heritage before 2005.

The Old Souq has served the city for 35 years. It attracts 20,000-30,000 customers daily, besides tens of tourists. It was the only market in the emirate when the idea of plush shopping malls was still on drawing boards.

Located between Hamdan and Khalifa streets in the heart of the city, it has a total of 192 big shops, out of which traders have sublet their spaces, creating more than 450 small shops, making a total of 650 shops there. While the New Souq on the western side of the Khalifa Street has 350 shops.

Demographically, shopkeepers hail from different ethnic backgrounds, comprising Indians, Pakistanis and Iranians. Less than five per cent of the shopkeepers are locals of Yemeni origin.

For relocation, the shopkeepers have two major options - the Madinat Zayed Shopping Centre, and the Central Vegetable Market (CVM) in Khalidiya.

However, both the options are not practical enough for the shopkeepers, as Madinat Zayed is quite expensive and caters to the customers of the upper income strata, while the Central Vegetable Market is a place where business cannot be done in its present shape, as it is a fish and meat market, which has its own characteristics that clash with the environment required of a typical souq.

The upper storey of the CVM market, which has been vacated by the Municipality, can accommodate 300 shops.

Though no shopkeeper has even considered this option, as many shopkeepers who have booked shop spaces six months back at the upper floor of the Central Vegetable Market in Khalidya have not shifted there yet.

How can our customers who want to purchase electronics, jewellery, perfumes, cosmetics, textiles, fabrics, footwear, leather goods, spices etc. go there zig-zagging through the fish shops on the ground floor, asks Mohammed Kutty, a worried shopkeeper, who sells toys. "You can't sell fish and perfume in the same market.

No doubt, he added, the design of the Fish and Vegetable Market is ideal for a modern market, as it is spacious and suits the shopkeepers for doing business, and that the shop rents are also affordable there.

"But, it is of no use to us, due to its peculiar environment," he said. "We can only shift there if the fish and meat-related business is relocated somewhere else, so that our customers are not disturbed," he said.

There are three categories of traders in the Old Souq - the big shop owners who sell wholesale, general merchants, jewellers, dealers in textiles and fabrics, and electronics.

Owners of medium-sized shops are engaged in the business of readymade garments, perfumes, cosmetics, footwear and watches. The small shops sell perfumes, watches, women's accessories, food and tea, or carry out electronic repair works.

The shopkeepers who have managed to acquire new premises to relocate their shops are the financially strong businessmen, while other traders face imminent bankruptcy, and their employees are fearing unemployment, since they may not be continuing their businesses any more if the municipality cuts power supply and finally starts the process of demolition.

Shopkeepers were unanimous in their suggestion that if the Central Vegetable Market is vacated for them, they would shift there within no time, as it would be a complete market where customers could buy any thing they wanted under one roof.


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