Spaza shop associations urge government to clarify R500 million fund management

The Township Economic Commission of SA and the SA Spaza and Tuckshop Association have raised concerns about the lack of transparency regarding the R500 million Spaza Shop Support Fund. Concern over the potential mismanagement of the R500 million Spaza Shop Support Fund (SSSF)has prompted calls fortransparency from the government. Concern over the potential mismanagement of the R500 million Spaza Shop Support Fund (SSSF) Launched last year to empower South African-owned township and rural spaza shops, the Township Economic Commission of South Africa (TECSA) and the South African Spaza and Tuckshop Association (SASTA) said the government needs to disclose the number of spaza shops that have been registered and funded.

Launched last year to empower South African-owned township and rural spaza shops, t he Township Economic Commission of South Africa (TECSA) and the South African Spaza and Tuckshop Association (SASTA) said the government needs to disclose the number of spaza shops that have been registered and funded. The fund waslaunched in April2025, in Soweto, following a series of tragic incidents where more than 20 children died from food-borne illness linked to hazardous substances such as pesticides found in some spaza shops. The fund provides capital to help shop owners purchase stock, upgrade facilities and implement digital systems.

It aims to improve hygiene standards and ensure regulatory compliance, addressing significant community concerns about the safety of food products andalso aims to improve economic viability. It aims to improve hygiene standards and ensure regulatory compliance, addressing significant community concerns about the safety of food products and However, there are concerns that this could be “hijacked by fraudulent actors or misdirected through bureaucracy”.