Spaza shop owners say registration deadline is too stringent

With only a week remaining before the spaza shop registration deadline, frustration is growing among shop owners who are struggling with the strict regulatory requirements and excessive red tape.

Many have described the process as unworkable.

According to several organisations representing the township businesses, there is growing apprehension among spaza shop owners who fear losing income if the deadline is not extended.

President Cyril Ramaphosa ordered the registration of spaza shops last month in response to the crisis of foodborne illnesses that have claimed the lives of more than 20 children.

However, the process to register township and rural businesses did not go smoothly, according to organised local business formations.

Founder of Africa Accent Spaza Shop, Bongani Mabuza from Katlehong on the East Rand, said locals were worried about what would happen to their businesses after the cut-off period. He said the process was unworkable and many spaza shop owners would not meet the deadline unless they are assisted.

“The government did not consider how this will affect the livelihoods of our members who have owned spaza shops for a number of years. Out of the 770 members we represent, some felt like they need to close because the admin behind the registrations is stressful,” he said.

“It has caused panic even for those who want to comply. They have to get a zoning certificate and health and safety certificate, and some told us they have stopped stocking their spaza shops because they don’t know what will happen to them after the 21 days have passed.”

The City of Johannesburg said it had distributed at least 5,000 application forms to business owners since the start of the spaza shop registration period, but no applications had been returned for formal registration to date. Metro spokesperson Nthatisi Modingoane said the city did not know the exact reasons for delays in returning the forms.

“But [we] understand a number of the registration applicants may not have been properly established and permitted to do business before because they may not be in possession of the zoning document from development planning, certificate of acceptability from environmental health and fire safety certificate from emergency management services.”

In Ekurhuleni, the metro said it had received 1,024 spaza shop applications since the start of registration.

Tshwane mayor Nasiphi Moya said so far, 1,154 spaza shops had been registered in the city.

Limpopo said it was sitting on 2,771 people who had collected forms while Mpumalanga said it had so far registered 500 businesses.

The secretary of the SA Spaza and Tuckshop Association, Sibusiso Ngcobo, said the registration process had been strenuous and expensive for its members. He said there were a lot of concerns and uncertainty about the implications of obtaining rezoning certificates.

The founder of the Township Entrepreneurs Alliance, Bulelani Balabala, said there was fear and anxiety among the alliance members.

“We have had close to 400 spaza shop owners reaching out to seek assistance. This is a sustenance business and most of them did have compliance. We are speaking to government officials to at least give us a six-month extension to register our spaza shops,” he said.

“They should not use a blanket approach to resolve the food poisoning crisis. This is not the best process. Maybe a staggered approach to resolving matters would help. The biggest challenge is that it’s causing more frustration than good.

“The reality is that we are going to the festive season and government knows they have limited capacity and it will worsen. The 21 days might not be met entirely. Some of the requirements need our members to be educated and six months would be enough to cover everything they need.”

The president of the Thohoyandou-based Thulamela Business Forum, Ntsieni Mbulungeni, said: “Our members are worried about not getting things right on time.

“There was no consultation with businesses to introduce programmes that will educate people about the process of registration. They are driving local businesses away. We have more than 800 SMMEs that we have not yet registered.”

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