By Lehlohonolo Lehana.
Gauteng MEC of Finance and Economic Development, Lebogang Maile commits to take the necessary action amid growing concerns over the risks posed by foreign-owned spaza shops.
Maile briefed the media in Sandton, Johannesburg on Sunday afternoon.
There have been a string of reported child deaths linked to food from foreign-owned spaza shops.
The death of six children in Naledi, Soweto, has sparked outrage across the community, with some residents calling for the closure of foreign-owned shops in the area.
Maile said current tensions in townships due to the deaths of children in Naledi – who ate snacks from a foreign-owned spaza shop – are not helpful.
He said dealing with the current challenges must be done within the ambit of the law.
“Shops that are not selling correct things [potentially poisonous foodstuffs] must be closed as a matter of principle, but we don’t wake up and say we close all foreign-owned spaza shops. By the way, that matter has become so complicated.”
“A key concern that has been raised about the township economy is that components of it are increasingly being monopolised by foreign nationals. This is occurring in a context where the South African economy has excluded millions of people, particularly those in townships and other historically disadvantaged areas, at the margins of economic activity.
Maile also spoke about the financial challenges linked to these enterprises.
He said it is justifiable that local spaza shop owners are frustrated by the inability to expand their businesses due to structural constraints.
“It is inevitable under such circumstances that local spaza shop owners are frustrated by being unable to thrive in their own communities especially as the factors behind their inability to thrive are down to the structural constraints rather than personal weaknesses. These constraints include a cost of living challenge that has eroded disposable income for local households, lack of access to credit and funding instruments for small and macro enterprises from major funding institutions as well as lack of access to markets.”
Maile will visit affected communities in Boipatong in the Vaal and Naledi in Soweto on Monday.