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Organised Informality and Suitcase Trading in the Pearl River Delta Region

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ABSTRACT Suitcase trade is a common activity along state borders in Asia. Existing scholarship has often viewed such suitcase trade as locally embedded activities characterised by informality. This article contends… Click to show full abstract

ABSTRACT Suitcase trade is a common activity along state borders in Asia. Existing scholarship has often viewed such suitcase trade as locally embedded activities characterised by informality. This article contends that this perception underestimates the diversity and complexity of suitcase trade. This is illustrated with a case study of the Pearl River Delta region of southern China, where thousands of suitcase traders carry goods across the borders between mainland China and its two Special Administrative Regions of Hong Kong and Macao. Several patterns of operation run in parallel, ranging from petty traders working alone to highly-organised group operators. While each individual transaction is small scale and based on informal networks, the entire chain of operations is run by syndicates that are highly organised, commercial, with well-defined divisions of labour, and on a large scale. We describe such a combination of organisational competence and informal networks as “organised informality.” The concept allows us to expand the analytical horizon to cover those cross-border exchanges that incorporate modern commercial practices in otherwise non-formal settings. It also bridges the oft-criticised dichotomies of formal-informal and licit-illicit.

Keywords: organised informality; informality; pearl river; delta region; suitcase; river delta

Journal Title: Journal of Contemporary Asia
Year Published: 2018

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