JPAP (Journal of Public Administration Researc.
Vol 11 No 1
E-ISSN 2460-1586
Study on the Relocation of Blambangan Traditional Market in Banyuwangi Regency:
A Policy Formulation Perspective Juang Abdi Muhammad 1*.
Auliya Gaffar Rahman 2 E-mail: Juangabdimuhammad@lecturer.
id 1, auliyagaffarrahman@gmail.
1 Faculty of Social and Political Sciences.
Department Public Administration.
Diponegoro University 2 Faculty of Technic.
University of Bakti Indonesia Banyuwangi *corresponding author Submitted:18-03-2025.
Accepted:13-04-2025.
Publish:18-04-2025 DOI: https://doi.
org/10.
30996/jpap.
Abstract Traditional markets are essential in the regional economy as a center of trade and social and cultural interaction.
The Banyuwangi Regency Government relocated and revitalized Blambangan Market to improve infrastructure quality and traditional markets' However, this policy poses challenges for traders, especially in decreasing the number of visitors to the relocation location, which impacts their income reduction.
This study analyzes the Blambangan Market relocation policy through William N.
Dunn's policy formulation approach, referring to the 2021-2026 Banyuwangi Regency RPJMD.
This study uses a descriptive qualitative method with data collection techniques through interviews, observations, and literature studies.
The study results indicate that the relocation policy does not optimally consider traders' economic and social aspects.
The main factors of the problem are the lack of two-way communication between the government and traders, low accessibility at the relocation location, and the lack of adaptation strategies for traders.
The problem structuring and forecasting approaches in the analysis of policy formulation indicate that without proper intervention, traders tend to return to their old locations, which has the potential to cause disorder in urban spatial planning.
As a solution, this study recommends strategies to improve two-way communication, intensive promotion to attract visitors to the relocation site, providing incentives to traders, and enhancing accessibility and infrastructure in the new location.
With a more participatory and adaptive policy approach, market relocation can run more effectively and provide long-term benefits for the regional Keywords: Market Relocation.
Policy Formulation.
Public Policy.
Blambangan Market.
Banyuwangi RPJMD.
Introduction Traditional markets represent one of the earliest economic centers in human According to Aliyah .
, traditional markets are integral to forming diverse activities, serving as regional economic hubs.
Furthermore, traditional markets function as platforms for socio-cultural interaction and provide numerous employment opportunities (Suasih.
Ni Nyoman Reni.
Saskara.
Ida Ayu Nyoman.
Wijaya.
Putu yudy.
Wibawa.
I Putu Sastra.
Santhyasa, 2.
Traditional markets are a vital component of community life, reflecting local residents' multifaceted roles and activities.
Their existence is closely tied to the livelihoods of the surrounding population.
Typically, these markets occupy specific areas with permanent structures or open spaces and serve as meeting points for traders and buyers to conduct transactions.
(Aliyah, 2.
Beyond mere venues for commerce, traditional markets also act as centers for exchanging goods and services at the regional level.
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thereby fostering the growth of various other activities within the area.
As one of the economic centers in Banyuwangi Regency.
Blambangan Market is one of the few traditional markets that continue to thrive in the modern era.
Blambangan Market is located at Jalan Basuki Rahmat No.
Singotrunan.
Banyuwangi District.
Banyuwangi Regency.
The goods traded in Blambangan Market include necessities, such as vegetables, fruits, clothing, kitchenware, meat, and other commodities.
The presence of a market in a region plays a significant role in shaping a positive image and contributing to the success of city branding, which in turn facilitates the development of competitive advantages.
Research by Putri .
demonstrates that the image of traditional markets influences the success of city branding in Solo City.
Markets have been proven to contribute to forming a positive city image, although they are not the sole determinant of successful city branding.
In conclusion, the condition and reputation of a market are significant factors in attracting residents and tourists to live in or visit the area.
To enhance comfort, modernization, and hygiene while preserving the distinctive character of Blambangan Market, the Banyuwangi Regency Government has undertaken a comprehensive revitalization project with an allocated budget of Rp 200 billion.
Since early February, relocating traders from Blambangan Market to a temporary site has commenced.
Traders have gradually vacated their stalls and adapted to the temporary location at the Women's Building.
This relocation ensures that trading activities can continue uninterrupted during the construction of the new market.
The revitalization of traditional markets is a transformative process aimed at eliminating perceptions of inferiority and enabling these markets to compete with modern retail establishments, such as supermarkets, while simultaneously improving the economic quality of the local community (Ismah.
Shabrina Adzatil.
Bahzar.
Moh.
Wingkolatin.
Hardoko, 2024.
Suasih.
Ni Nyoman Reni.
Saskara.
Ida Ayu Nyoman.
Wijaya.
Putu yudy.
Wibawa.
I Putu Sastra.
Santhyasa, 2.
Although a suitable relocation site has been prepared, field observations reveal that traders face significant challenges.
One of the primary issues is the low number of visitors at the relocation site, which has led to a substantial decline in traders' revenue.
Some traders are even struggling to cover their daily operational costs.
The new relocation site is perceived as less strategic and not yet widely recognized by the public, resulting in a significantly lower footfall than when they operated at Blambangan Market.
This situation has prompted several traders to return to the original, now-demolished location.
They are attempting to sustain their businesses by selling near the old market despite the area no longer being suitable for such activities.
This behavior underscores the traders' reliance on the old location, which was more strategically positioned and had an established customer base.
The relocation conditions at Blambangan Market, as noted in the studies by Saragih .
and Fauzi.
Yuswadi.
Karyadi.
Helpiastuti .
, show that traders often face challenges created by the government as the executor.
Moreover, the low involvement of traders in the revitalization process affects the program's integration, making it less effective in enhancing the competitiveness and economic function of traditional markets.
This article proposes solutions to the Blambangan Market relocation policy issue by employing William N.
Dunn's policy formulation approach while adhering to the Banyuwangi Regency Medium-Term Development Plan (RPJMD) for 2021-2026.
William N.
Dunn's Copyright A 2025.
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approach presents a well-structured policy formulation process, particularly highlighting the forecasting aspect, which stands out as a strength and a distinguishing feature compared to other policy formulation theories.
Methods This study employs a qualitative approach, utilizing a descriptive research design.
Within the qualitative framework, the researcher engages in continuous and sustained interaction with participants to gain an in-depth understanding of their experiences (Sugiono, 2.
The research adopts a descriptive-analytical method, focusing on systematically examining and interpreting data.
Data were collected through interviews and observations conducted at Blambangan Market in Banyuwangi.
This methodological approach allows for a comprehensive exploration of the phenomena under investigation, providing rich insights into the context and dynamics of the studied environment.
Data analysis in this study follows the approach outlined by (Creswell & Creswell.
The process begins with organizing and preparing the data, which includes transcribing interviews, scanning documents, and categorizing data based on their sources.
Subsequently, the researcher thoroughly reads the data to grasp its underlying meanings before proceeding to deeper analysis.
The next step involves coding, where key topics are identified, grouped, and categorized to uncover patterns within the data.
These coded results formulate significant themes as the foundation for further analysis.
The analysis is then expanded by constructing interpretations based on the emerging narrative flow, enabling a more comprehensive understanding of the phenomena under investigation.
Finally, the data are analyzed using an appropriate analytical framework, such as narrative research, to ensure a structured and systematic examination of the findings.
This methodological approach ensures rigor and depth in interpreting the data, aligning with the qualitative and descriptive-analytical nature of the study.
Results and Discussion The Policy Formulation Theory Policy formulation is a critical stage in the public policy cycle, aimed at developing practical and implementable policies.
This process involves in-depth analysis and decisionmaking, considering technical, social, and political dimensions.
Islamy .
and Anggara .
explain that policy formulation consists of several stages: problem identification, agenda setting, policy proposal development, policy adoption, implementation, and The success of policy formulation depends on the involvement of various stakeholders and comprehensive analysis to ensure that the resulting policies are not only politically viable but also practically implementable.
Effective policy formulation requires a balanced consideration of diverse interests and a thorough understanding of the context to achieve sustainable and impactful outcomes.
According to Santoso & Tapiheru .
and Kadji .
, policy formulation is a governmental intervention to address public issues through a structured process that includes problem identification, development of alternative solutions, and policy analysis.
However, this process often encounters challenges such as limited human resources.
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institutional capacity, and budgetary constraints.
They emphasize that policy formulation is not solely a technical endeavor but also requires consideration of social and political dimensions, including an analysis of the potential impacts of policy implementation.
Ibrahim .
highlights that policy formulation is a systematic process involving problem identification, analysis of policy options, and decision-making based on scientific and political Furthermore, the interaction among policy actors, including the government, the public, and the private sector, plays a crucial role in determining the effectiveness of Therefore, policy formulation necessitates a comprehensive approach to ensure that the resulting policies are capable of optimally addressing public issues.
According to policy formulation is the stage in which policy alternatives are designed to address a public issue.
These alternatives can be executive regulations, judicial decisions, or legislative actions.
Dunn .
further proposes three alternative methods for policy formulation, which are:
Problem Structure: Problem sensing, or the identification of issues, constitutes the initial phase in policy analysis, wherein analysts begin to detect early indicators of potential challenges within a policy framework.
Following recognizing a problem, the subsequent stage involves problem-searching or exploring the issue.
During this phase, an in-depth analysis is conducted from various perspectives on the identified problem.
Analysts gather information from diverse sources to understand the issue at hand The next step is problem delimitation, which entails defining the boundaries and scope of the problem to ensure the analysis remains focused and avoids unnecessary expansion into less significant aspects.
The final stage in this process is problem specification, wherein the delineated problem is formulated in a more specific and operational manner, enabling further examination through appropriate methodologies.
Problem specification allows policy analysts to develop measurable indicators, which can be assessed using quantitative or qualitative This structured approach ensures a systematic and rigorous analysis of policy issues, facilitating the formulation of evidence-based solutions.
Forecasting: Policy analysis through consequence projection is a methodological framework that evaluates the potential outcomes of various policy alternatives to guide decision-making.
Among the methods employed in policy formulation analysis, extrapolative forecasting relies on historical trends projected into the future, assuming that past patterns can predict future tendencies.
In contrast, theoretical forecasting focuses on understanding cause-and-effect relationships based on established laws and theoretical principles, using conceptual models to map out how policies might influence future outcomes.
Additionally, feasibility forecasting assesses the likelihood of stakeholder acceptance or resistance to a specific policy, evaluating its practical and political viability to inform strategic implementation plans.
Together, these methods provide a comprehensive approach to policy analysis, ensuring that decisions are grounded in robust, evidence-based projections and considerations of practicality.
Prescription: Prescriptive policy analysis is a methodological approach to transforming information about expected policy outcomes into actionable, preferred policy In essence, it serves as a decision-making tool that guides Copyright A 2025.
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stakeholders on what actions should be taken by evaluating and prioritizing available This process systematically assesses each option's potential impacts, benefits, and trade-offs, enabling policymakers to identify the most effective and feasible course of action.
By synthesizing evidence and aligning it with strategic objectives, prescriptive policy analysis ensures that recommendations are not only grounded in rigorous analysis but also tailored to address specific policy challenges and goals.
Analysis of the Problem of Relocation of Traders at Blambangan Market.
Banyuwangi in the Context of the 2021-2026 Banyuwangi Regency RPJMD The relocation of traders from Blambangan Market in Banyuwangi represents a complex issue in regional development, particularly regarding the Banyuwangi Regency Medium-Term Development Plan (RPJMD) for 2021-2026.
One of the primary challenges traders face following relocation is the lack of customer traffic at the new site, which has directly resulted in a decline in their income.
This situation has prompted some traders to return to their original locations, even though Blambangan Market has been demolished.
This phenomenon highlights the relocation site's inadequacy in meeting the traders' needs, particularly in terms of accessibility and supporting infrastructure.
As a result, the new location fails to attract sufficient customers, undermining the economic sustainability of the traders and reflecting broader systemic issues in the planning and implementation of the relocation initiative.
On the other hand, the relocation policy implemented by the government has inadequately considered the realities of the local economy, including established market behaviors and distribution networks that have developed over many years.
Consequently, there is a noticeable disconnect between the policy measures enacted and the actual needs of the traders.
This gap underscores deficiencies in the policy's planning and implementation stages, necessitating further evaluation to develop more inclusive and sustainable solutions.
Addressing these shortcomings is crucial to ensuring that future policies align more closely with the economic and social dynamics of the affected communities, thereby fostering greater acceptance and long-term success.
Within the Banyuwangi Regency Medium-Term Development Plan (RPJMD) 20212026, several policies should address the challenges associated with the relocation of traders.
One key focus of the planning document is strengthening traditional markets and micro, small, and medium enterprises (MSME.
, emphasizing protecting small traders and enhancing distribution networks.
However, implementing these policies has yet to achieve optimal results, as evidenced by the significant number of traders who feel inadequately supported following relocation.
This gap between policy intent and execution highlights the need for more effective government support and evidence-based strategies, which are critical to the successful revitalization of traditional markets (Ningsih & Megawati, 2022.
and Assa Aprillia.
Sambiran Sarah, 2022 ).
Without such measures, the sustainability of relocated traders and the broader economic ecosystem they support remains at risk.
Furthermore, the RPJMD emphasizes enhancing infrastructure accessibility and market connectivity as part of the regional economic development strategy.
However, field Copyright A 2025.
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conditions reveal that the relocation site continues to face infrastructure challenges that hinder trade flows in terms of transportation and consumer appeal.
This indicates that the relocation policy has not yet aligned with the target of improving market connectivity as envisioned in the regional planning.
The sustainable economic development strategy outlined in the RPJMD is another critical aspect to consider when reviewing this market relocation policy.
Relocation efforts should not only focus on the physical development of the market but also ensure the continuity of customer networks and the economic stability of traders.
The absence of a comprehensive approach to this relocation has left many traders struggling to adapt, potentially diminishing their competitiveness in the changing business environment.
In this context, a socio-economic approach is essential to address the multifaceted challenges faced by the traders.
Moreover, the RPJMDAos policies on MSME mentoring and competitiveness enhancement could ideally solve these issues.
Unfortunately, there has been no concrete strategy specifically designed to assist traders in adapting to their new environment.
Without adequate support measures, relocated traders find it challenging to sustain and grow their businesses in the new location.
As suggested by Marantika et al.
, thorough preparation, training, and benchmarking are essential strategies to ensure that market revitalization aligns with the expectations of traders.
Overall, the relocation of Blambangan Market traders in Banyuwangi highlights a significant gap between the policies outlined in the RPJMD and on-the-ground realities.
While the government has developed plans to accommodate the strengthening of traditional markets, infrastructure improvements, and MSME support, the implementation of these policies continues to face numerous challenges.
Therefore, a thorough evaluation and a more participatory approach in the planning and execution of relocation policies are crucial steps to ensure that the policies deliver tangible benefits for traders and the regional economy as a whole.
Analysis of policy planning in the context of the relocation of traders at Blambangan Market.
Banyuwangi can be reviewed based on two main aspects, namely problem structuring, forecasting and Prescription .
Problem Structuring The main issue arising from this relocation policy is the decline in traders' income due to the lack of buyers at the new location.
This situation has made it difficult for many traders to sustain their businesses, ultimately prompting most of them to return to selling at the old location despite demolishing the area.
Upon further examination, several factors contribute to the decline in traders' income.
First, inadequate strategy and planning play a significant role.
Many government decisions fail or do not last long due to the lack of two-way communication.
According to Aisyah & Pangaribuan .
Pertiwi et al.
, .
Ningsih & Megawati, .
Samahita, .
a one-way communication approach that only involves socialization without any discussion forums engaging traders in decision-making leads to policy Copyright A 2025.
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This occurs because certain actors are disadvantaged in the one-way communication process.
in this case, the traders.
Moreover, the lack of accessibility at the relocation site discourages consumers from visiting.
According to Shofwan .
and Fahilla.
Nisa Ikhwanu.
Zalmita.
Novia.
Yulianti .
, ease of access for customers is one of the key factors in attracting them.
Additionally, changing consumer shopping patterns may no longer align with the concept of the relocated market as designed by the government.
Furthermore, the relocation policy lacks adequate adaptation strategies for traders, such as business assistance or incentives encouraging them to persist and adapt to the new location.
Without planning that considers these aspects, relocation merely becomes a physical transfer without ensuring the economic sustainability of the affected traders.
Forecasting First, there is a lack of mature strategy and planning.
Many government decisions fail to endure or succeed due to the absence of two-way communication.
This is because specific stakeholders, in this case, the traders, are disadvantaged in the one-way communication process.
Several communication alternatives can help ensure the market relocation program proceeds as expected.
First and foremost is two-way Implementing two-way communication is likely to result in decisions that are not unilateralAiserving the common good rather than personal interestsAiand that are responsive and adaptive.
Second, adopting a responsive, transparent, and accountable communication approach.
This form of communication can be carried out through focus group discussions (FGD.
, aiming to identify real needs, ensure compliance with policies, and foster a sense of shared responsibility.
Third, multichannel communication.
In addition to communication among relevant stakeholders, communication within the policy context also requires the use of other media such as radio, print and electronic media, and social media.
These three communication strategies can serve as key solutions in the market relocation policy process in Indonesia.
Additionally, the relocation site suffers from poor accessibility, discouraging customers from visiting.
Fahilla.
Nisa Ikhwanu.
Zalmita.
Novia.
Yulianti .
emphasize that ease of access for customers is a key factor in attracting and retaining Furthermore, shifts in consumer shopping patterns may no longer align with the concept of the relocated market as designed by the government.
Moreover, the relocation policy lacks adequate adaptation strategies for traders, such as business mentoring or incentives to encourage them to remain and adapt to the new location.
Without planning that considers these aspects, the relocation merely becomes a physical transfer of traders without ensuring the economic sustainability of those affected.
This oversight underscores the need for a more holistic and inclusive approach to policy implementation, prioritizing the long-term viability of traders and their businesses.
The issues surrounding the relocation site of the traditional Blambangan Market in Banyuwangi Regency can be anticipated through the following measures.
First, a thorough feasibility study must be conducted, and economically and socially unsuitable Copyright A 2025.
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locations must be avoided.
This includes steering clear of areas with low visitor traffic, poor economic potential, disaster-prone zones, and places that lack security and public Second, ensuring the availability of infrastructure and full accessibility.
successful relocation must consider the readiness of facilities at the new location.
Relocation failures are often caused by incomplete infrastructure.
Third, providing support and promoting the relocation.
Limited information, lack of government assistance, and minimal promotional efforts are key factors affecting the market's postrelocation development.
The government often neglects these processes .
upport and promotio.
, resulting in traders moving to better locations.
Instead of creating a more modern market, ignoring empowerment and marketing processes may leave the relocated market in a "dormant" state.
Prescription in the Relocation Policy of Traders at Blambangan Market.
Banyuwangi In relocating traders from Blambangan Market in Banyuwangi, policy prescription aims to transform forecasting outcomes into more effective and widely acceptable policy A more strategic and adaptive policy approach is essential, as it addresses the core issues and considers the potential long-term impacts if no intervention is made.
This approach should ensure that the relocation is not merely a physical transfer but also supports the economic sustainability of the traders.
Key measures could include enhancing two-way communication between the government and traders, improving accessibility and infrastructure at the new location, and providing targeted support such as business mentoring, financial incentives, and promotional efforts to attract customers.
Additionally, aligning the relocation strategy with shifting consumer behaviors and ensuring the active participation of traders in decision-making processes will be critical to fostering a sense of ownership and adaptability among the affected stakeholders.
By adopting a comprehensive and inclusive framework, the relocation policy can achieve its intended goals while safeguarding the livelihoods of the traders and contributing to the broader economic development of the region.
Conclusion Traditional markets play a vital role in regional economies, serving as trade centers and hubs for social and cultural interaction within communities.
Blambangan Market revitalization aims to enhance traditional markets' comfort, cleanliness, and competitiveness, enabling them to withstand the challenges posed by modern retail alternatives.
However, the implementation of relocating traders to a temporary location at the Women's Building has encountered several obstacles, particularly the decline in visitor numbers, which has significantly impacted traders' The analysis in this article reveals that the relocation policy for Blambangan Market has not adequately considered the economic and social dimensions inherent to traditional Key factors contributing to the policy's ineffectiveness include the lack of two-way communication between the government and traders, poor accessibility at the new location, and insufficient adaptation strategies for the traders.
From a policy formulation perspective, relocation decisions should be grounded in a Copyright A 2025.
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more participatory and humanistic approach.
Additionally, thorough evaluations of infrastructure and accessibility at the relocation site are necessary to maintain the market's Without more comprehensive policy interventions, traders are likely to continue to return to their original locations, potentially leading to urban spatial disorder and further straining the relationship between the government and the trading community.
This article recommends several strategic measures as a solution, including enhancing two-way communication, conducting intensive promotional campaigns to attract visitors to the new location, providing incentives to traders, and improving accessibility and infrastructure at the relocation site.
By adopting a more planned and adaptive policy approach, the market relocation can be executed more effectively, ensuring long-term benefits for regional economic development and fostering a more sustainable and inclusive environment for all stakeholders involved.
Reference