Today marks the contentious deadline for spaza shops and food-handling businesses to register with South African municipalities, a directive met with widespread frustration, logistical hurdles, and stark warnings of enforcement.
Initiated by President Cyril Ramaphosa in November 2024 following food poisoning tragedies that claimed over 20 lives—including children—the registration process has become a flashpoint for tensions between government authorities and informal traders.
Government Firm on Deadline Amid Pushback
Co-operative Governance and Traditional Affairs Minister Velenkosini Hlabisa has unequivocally ruled out further extensions, stating, “There will be no extension. We are not going to make any recommendation to the President. There was enough time for people to register from the extension made in December.”
The original 21-day registration window, announced after outbreaks linked to expired or contaminated goods sold at unregulated spaza shops, was extended to February 28, 2025 to accommodate delays.
By midday on Friday (final day of registration), Gauteng alone had registered over 20,000 businesses. However, thousands remain unregistered, with owners citing bureaucratic obstacles and prohibitive costs.
Spaza Owners Decry “Unfair” Requirements
For many informal traders, compliance has proven elusive. “It’s too expensive,” one owner lamented, speaking to SABC News. “These requirements—I don’t think we will be able to complete everything. They want an approved plan for your shop, health and safety certificates, which cost R1,600. With the hawker’s license, it almost totals R2,000. That amount is required upfront, which is totally unfair. The treatment given to us is not right. Tax Clearance Certificate, this and that… this was never communicated to us.”
Others criticised the lack of guidance. “They have to teach us…workshop us on this matter so we can understand,” argued another owner.
Foreign entrepreneurs face additional hurdles, such as producing title deeds—a requirement the City of Johannesburg imposes but many struggle to fulfill.
Crackdowns and Closures
Municipalities have intensified compliance checks. In Tshwane, Mayor Nasiphi Moya conducted inspections ahead of the deadline, while MMC Blessing Tshego Oratile shared on X (formerly Twitter): “Today, the MMC of Health visited a Spaza Shop at Vista. Unfortunately, it was not compliant and operating without a Certificate of Acceptability. We have closed the establishment. The matter is now with Tshwane Metro Police.”
The City of Tshwane’s official account posted images of a shut-down “Pakistani spaza shop” for non-compliance (shown below), signaling stricter enforcement. Health inspectors and metro police are now mandated to shutter unregistered businesses and enforce food safety laws for spaza shops in particular.
Government Announces Post-Deadline Support and Media Briefing
Amid mounting criticism, the Department of Small Business Development (DSBD) has announced a joint Nerve Centre media briefing scheduled for Sunday, March 2, 2025, at 1pm GCIS Head Office, Tshedimosetso House in Pretoria. The briefing will be led by Minister Stella Tembisa Ndabeni and provincial Economic Cluster MECs.
The briefing will address the closure of the registration period, provide updates on the process, and outline next steps, including details on a R500 million intervention fund to support compliant small businesses.
Minister Ndabeni’s office emphasised that the fund aims to alleviate financial burdens faced by registered businesses, though critics argue it comes too late for owners already struggling with compliance costs.
ActionSA Hails Deadline as “Victory,” Demands More
Political party ActionSA welcomed the deadline as a milestone for its #Spaza4Locals campaign, which advocates for locally owned, compliant shops. In a media release, the party stated: “Today marks the final deadline for all spaza shops to be registered—a critical step toward restoring order, protecting consumers, and reclaiming the township economy for South Africans.”
However, ActionSA emphasised that registration alone is insufficient, demanding:
- 100% Local Ownership: “The R200 billion township economy must benefit South Africans.”
- Stricter Oversight: Combatting illegal foreign ownership and counterfeit goods.
- Health Standards: Preventing tragedies like the 2024 food poisoning deaths.
“We will not rest until every spaza shop is locally owned, legally compliant, and safe,” the party declared.
Registration Process and Penalties
Businesses must visit municipal offices on weekdays or contact the Small Enterprise Development and Finance Agency (SEDFA) at 086 010 3703. Non-compliant shops face closure, fines, or legal action.
A Fractured Path Forward
While the government frames registration as a public health imperative, many spaza owners perceive it as an exclusionary measure. With livelihoods at stake and communities divided, the deadline underscores deeper tensions over informality, migration, and economic justice. As enforcement escalates, the promise of a safer, regulated township economy clashes with the reality of those who feel left behind.
