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Updated 08/20/2008 11:18 AM

New Fruit, Vegetable Peddlers Losing Money

By: Kafi Drexel

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Green carts are being rolled out in neighborhoods across the city, increasing the availability of healthy food in low income neighborhoods.

But some vendors say they are having trouble reaching a profit.

Less than a week into opening up the city's first Green Cart, vendor Monawara Sultana has some satisfied customers.

"I always come in the morning and get oranges and apples," said customer Maritza Melendez.

"They are just as good as the store, and it's a little less money," said customer Sy Cohen.

But while Sultana and her daughters have attracted a few customers, others just are not biting yet.

About 1,000 more of these fruit and vegetable stands will hit city streets over the next two years to increase the availability of healthy food in low-income neighborhoods. Sultana picked bustling Gun Hill Road in front of Montefiore Medical Center expecting to make a huge profit. So far, she says, that's not the case.

"Yesterday we spent $400 on the supplies alone, just the products. And we made close to $180, not even $200," said Sultana's daughter Monshumi Ahmed. "We didn't even reach our margin. We didn't even reach $400. So we have nothing left over."

The family says two big problems have been competition from other nearby vendors in an already busy area, and pricing problems with their distributor.

City officials are hoping a more than million dollar grant from the Laurie Tisch Illumination Fund will help turn things around. Now some of that money will go toward initiatives like bringing in consultants to help the vendors learn how to make their carts more profitable.

"One thing we know, from our research into street vending, is that customers do develop loyalty to a particular vendor," explained NYC Food Policy Coordinator Ben Thomases. "So it may take the vendor a while to build up a loyal customer base. But once she has a loyal customer base, if she's got great product and people come to expect that from her, she may find business gets a lot better in this spot, or she may find that she may need to pick another spot."

While business may be off to a slow start, health officials say that does not mean there's not a need.

"One in four people in any neighborhood where the green carts are actually have consumed no fruits and vegetables for the day and the World Health Organization and others have shown eating fruits and vegetables really does reduce the risk of heart disease and stroke and diabetes and a number of thing," said Cathy Nonas, director of physical activity and nutrition programs for NYC DOH.

The hope is Sultana's green cart will be a success, and that the more profitable she is, the more likely it is more New Yorkers are doing something profitable for their health.