The Limpopo Department of Economic Development, Environment, and Tourism (LEDET) has raised concerns over the low registration rates among local spaza shop owners, following President Cyril Ramaphosa’s directive to have all spaza shops legalized within 21 days. LEDET spokesman Zaid Kalla revealed that while the Capricorn and Vhembe districts have seen 300 and 586 applications, respectively, the majority of these applications are from foreign nationals. Kalla emphasized the need for greater participation from local South African business owners.
Kalla urged local spaza shop owners to take advantage of the registration process, stressing that it is crucial for boosting local economic growth and job creation. He noted that many unregistered and illegal spaza shops continue to operate in rural areas and townships, preventing positive economic development. “Rebuilding our economy starts with placing it in the right hands,” Kalla said, calling on local entrepreneurs to engage with the process and contribute to a stronger economy.
Local business owners like Lucky Ledwaba, a spaza shop owner in Mentz, expressed concerns over the registration process. Ledwaba explained that many locals are unaware of the registration requirements, assuming that only foreign nationals need to comply. He also voiced frustration over the competitive disadvantage locals face due to the pricing strategies of foreign-owned shops, which often undercut prices to attract customers.
Despite these concerns, LEDET continues to push for higher registration rates among local business owners. With the deadline approaching, the department urges spaza shop owners to visit municipal offices or designated registration sites before 13 December 2024. The government hopes that by formalizing these businesses, they can improve compliance, create jobs, and enhance economic growth in the region.
