The advantage of reclaiming ownership of the spaza industry as South Africans.

Image by: Asher Pardey

The spaza industry has, for a long time, represented a major economic loss for many black South African communities, particularly since foreign nationals entered and expanded within the space. It has highlighted how we have struggled not only with owning and managing spaza shops, but also with taking ownership of our communities. The fact that foreigners were able to enter and quickly rise to the top of the “food chain,” while we were already present, suggests that many of our spaza shops were operated mainly to cover daily expenses, with little focus on building sustainable businesses or creating employment opportunities.

At this point, government should not be blamed entirely. Government is not separate from us, it is made up of people who also live in these communities. It is also made up of those who chose to rent out their homes for foreign-owned businesses. Instead of constantly complaining, we should take greater responsibility for our spaces and focus on solving the challenges within our control.

With that said, South Africans now have an opportunity to reclaim the spaza industry, whether foreign traders remain or not. However, we first need to understand the structure of the value chain. If we are encouraging South Africans to restock and run spaza shops again, where will they be sourcing their stock from? Why those suppliers? And why are we not applying similar strategies used by others to establish and own wholesale businesses as well?

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The real advantage at this point lies in education. This is a major opportunity for communities to learn how to own, run, and manage successful spaza shops. Many people need proper guidance on how to operate these businesses effectively. In the past, some community members struggled to support local spaza shops due to inconsistent service, poor product quality, and a lack of professionalism in the sector.

However, it is also important to acknowledge that many foreign traders succeeded by focusing on simple but effective practices - such as opening early, closing late, and consistently meeting the needs of the community. This level of commitment reflects hard work and sacrifice. In contrast, many local spaza owners in the past did not prioritize reinvesting in their businesses or expanding into additional stores, while others did.

These are the key lessons that must be emphasized as we work to reclaim the spaza industry. Communities should also engage property owners who lease their spaces to foreign-run businesses, helping them understand how such arrangements impact local economic growth. It is important to note that the goal is not exclusion but rather ensuring that South Africans are empowered to own and grow their own economy, while also allowing fair participation from others through employment rather than ownership.

Ultimately, this moment presents an opportunity to educate our communities on how to successfully reclaim and sustain the spaza industry. If done correctly, it can lead to long-term empowerment and ensure that past mistakes, such as losing control of key community-based industries - are not repeated.