Kiama Business Network will meet with disgruntled business operators next week in a bid to resolve a dispute over the effect of the Seaside Markets on local trade.

Councillor Yasmin Tatrai moved a motion at Tuesday night’s Council meeting over concerns that the markets were taking revenue from local businesses.

Her motion was defeated with Kiama Mayor Cameron McDonald expressing hope that the issue could be resolved between KBN, which runs the markets, and a group of business operators who want stricter restrictions imposed.

According to Council’s Spendmapp data, revenue rises by 25 per cent in the Kiama town centre when the markets are held on a Sunday - there have been 14 Seaside Markets this year with two more to come.

Cr Tatrai believes the data needs to be examined further as she believes market vendors are making profits while local shops are suffering a downturn.

She has tabled a petition with more than 100 signatures and Council staff are reviewing the document.

KBN president Cathryn Lyall said there was no data to suggest the markets had a negative impact on local shops.

Lyall spoke told Council’s open public forum on Monday night that the markets were beneficial for the town while Tourism and Economic Advisory Committee member Ryan Rievely, CEO of travel platform Smartvisit, voiced his objections over their impact.

KBN ensures more than 90 per cent of stall holders are from the Illawarra and Shoalhaven and that the products they sell are of a high quality.

Lyall said there are only four food trucks each market as well as around five warm food options like crepes, and one coffee van, and they have significantly reduced the number of culinary stalls in the past year.

KBN also allows 1-2 community groups to have a stall for free at each market for sausage sizzles or to run raffles.

"KBN is committed to working collaboratively and respectfully with both Council and our local businesses,” Lyall said.

The cars of stallholders parked at the markets.

“Our goal is to nurture a vibrant, inclusive and economically resilient Kiama business community, and we will look forward to engaging directly with our local businesses on this matter."

Cr McDonald said Council had a clear policy on markets and, in accordance with the policy, has awarded the lease for the Seaside Market to Kiama Business Network to operate.

“Beyond granting the licence in accordance with our markets policy, this issue is between the market operator and local businesses, it’s not a matter for Local

Government.”

“Our data has shown that Market day is a very good day for local business across the LGA.

“Council and I’m sure the KBN, don’t want to see anyone suffer. We understand that It has been pretty tough for small businesses, coming off the back of a cold and rainy winter season, with increasing costs in rents, employment, utilities and outgoing costs.

“It can be difficult running a small business so we definitely want to be in there and supporting our local businesses.

“I know the KBN has a fantastic board and group of volunteers that are very skilled and always seek to promote and sustain and support local business.

“KBN and representatives from local business who have put forward the petition have said they will soon meet to try to resolve this issue. This would be the best

outcome for all concerned.”

Cr Tatrai was saddened that she did not receive sufficient support for her motion, which called for CEO Jane Stroud to conduct a thorough review of the markets and consider relocating them away from the town centre to venues such as the Leisure Centre, Gainsborough Oval or Werri Beach.

“I respect the decision of Council but I’m personally disappointed by the vote. A hundred people signed that petition, which is a big thing for people to do, and I support those local business people.”

“I feel like I’ve let them down.

“Why can’t we have a market that benefits the community? Why does it have to be so big? Why does it have to have competing foods.

“I do see it as an issue for Kiama Council. Businesses in Kiama pay rent and work very hard day and night to run their businesses so if it’s not an issue for Council who is it an issue for?

“If they were making money, they’d say the markets are amazing but instead some business owners are reporting 60% losses. That is staggering.

“If the business community are struggling, we have an obligation to do something about it.”

Cr Tatrai believes stall holders are breaching the rule which permits just one car per tent and they are doing damage to the park as well as surrounding trees, as well as impinging on the pathway that runs around the shoreline.

Rieveley, whose career includes 20-plus years specialising in destination marketing and tourism technology, has also written to Councillors detailing his dismay at the markets detracting from local business.

“During peak weekend periods, Kiama is running at capacity in terms of the people and cars that the town can support,” he said.

“The markets, while a draw to day-trip visitors who spend at the market, these visitors are pushing out locals and higher-spending consumers who spend more at our bricks-and-mortar businesses that invest in our community, pay rent and rates, and who create the environment we all enjoy.

“The additional spend generated on market days which the Kiama Business Network so loves to promote is largely being captured by people from outside our LGA who operate the market stalls and who sell trinkets manufactured overseas or other items which compete with what is already offered in town.

“Through the signing of a petition, over 30 businesses located in Kiama's main streets have clearly stated that this activity is having a significant negative impact on them during key trading periods (weekends) for which they rely on to get through weekdays and the winter.”