SA Spaza and Tuckshop Association fears R500m support fund may end up in wrong hands

CAPE TOWN - The South African Spaza and Tuckshop Association has said it was concerned that aid from the R500 million spaza shop support fund might end up in the wrong hands.

Launched earlier in April in Gauteng, the joint initiative by the departments of trade and industry and small business development is aimed at boosting South African-owned spaza shops in townships and rural areas.

Funding covers initial stock, infrastructure upgrades, and training, among other things.

Spokesperson for the association, Sibusiso Ngcobo, claims that almost 50% of the registered spaza shop owners are fronting for people who are not meant to be running local spaza shops.

Ngcobo said they were also concerned about the continued reports of the deaths of children after eating food from spaza shops.

"The main primary focus is that we can stop the dying of little kids, and we can be able to say as the spaza shops have historical significance to the people of South Africa, particularly in townships, we can call them a beacon of entrepreneurship for our future businesspeople," said Ngcobo.