The Poisson structure generating the hamiltonian dynamics of string vortices
is reconstructed within the current algebra picture as a limiting case of the
standard brackets associated to fluids with a smooth vorticity field. The
approach implemented bypasses the use of Dirac's procedure. The fine structure
of the dynamical algebra is derived for planar fluids by implementing an
appropriate spatial fragmentation of the vorticity field, and the limit to the
point vortex gas is effected. The physical interpretation of the resulting
local currents is provided. Nontrivial differences characterizing the canonical
quantization of point vortices and the current algebra quantization are also
illustrated.