City denies privatization of Iloilo Central Market

By Rjay Zuriaga Castor

The Iloilo City Government has refuted claims that the Iloilo Central Market, also known as Tienda Mayor, has been privatized, clarifying that the facility is under a public-private partnership (PPP) agreement with SM Prime Holdings Inc. (SMPHI), not full private control.

In an official statement, the Local Economic Enterprise Office (LEEO) said SMPHI will manage only its designated area within the redeveloped market, while overall operations remain under the supervision of the LEEO.

The agency also addressed reports of alleged rent increases, stating that claims of monthly rates rising from PHP 900 to PHP 5,000 are false.

“No such increase has been implemented,” the statement said.

“In fact, under Executive Order No. 021, the City Government has deferred any adjustment in market rental rates for two years, covering 2025 to 2026.”

The LEEO further dismissed rumors that stallholders are being required to pay a three-month deposit, emphasizing that no such policy exists.

To ensure fairness in stall distribution, the LEEO recently held its first deliberation for stall allocations at the redeveloped Central Market.

The city government entered into a 25-year lease agreement with SMPHI in August 2022 for the redevelopment of two major public markets: the Iloilo Central Market and the Iloilo Terminal Market.

Under the PPP agreement, SMPHI committed to investing between PHP 1.5 billion and PHP 2.5 billion to modernize the two facilities.

Planned improvements include upgraded ingress and egress points for deliveries, parking areas, CCTV systems, public restrooms, solid waste management infrastructure, and wastewater treatment systems.

The redeveloped markets are expected to house around 2,000 stalls, aiming to provide vendors with improved facilities and customers with a better shopping experience.

While initial projections targeted completion by December 2024, construction delays have moved the expected opening and full operation to 2025.

The city government has announced that displaced vendors will be relocated to temporary stalls in the last quarter of this year.