U-saved from spaza shops? Could container stores be an alternative to dodgy tuck-shops?

As scrutiny tightens around spaza shops in South Africa amid dozens of alleged poisoning incidents, a debate has erupted over whether formal retail container stores could offer a solution.

These incidents have thrust spaza shops into the national spotlight, with President Cyril Ramaphosa taking action following the series of alarming foodborne illness cases.

The president, last week, ordered all spaza shops and food handling establishments to register with local municipalities within 21 days, a move prompted by nearly 900 reported illness cases since September.

According to government data, 890 foodborne illness incidents have been recorded nationwide, with Gauteng and KwaZulu-Natal bearing the brunt of the crisis.

In Gauteng alone, 441 cases have been linked to spaza shops, including a tragic incident in Naledi, Soweto, where six children died after exposure to terbufos, a hazardous chemical pesticide.

An inspection into 84 spaza shops done in Soweto revealed only three shops that had terbufos.  

ALSO READ: Ramaphosa vows to shut down shops linked to children food poisoning deaths

Container stores: A potential solution over spaza shops?

The emergence of container stores by formal retailers like Usave and Pick n Pay has raised questions about potential alternatives to traditional spaza shops.

Shoprite’s Usave eKasi stores, developed over several years, range between 100m2 and 200m2 and were strategically launched to serve previously unserviced areas with limited quantity essential products.

A Shoprite spokesperson told The Citizen that their stores aim to improve retail presence in locations previously underserved and mostly rural areas.

The impact has been significant, as illustrated by a Mail and Guardian report featuring a Somalian entrepreneur whose business experienced a dramatic decline, losing nearly 80% of his customers to the nearby Usave container store.

“But there’s nothing I can do because customers choose where to buy,” he lamented.

While Shoprite emphasised that they are not seeking to replace spaza shops, instead positioning themselves as a corporate retail solution, they said they remained open to opportunities.

The company boasted that it had seen impressive growth, increasing sales by 13.2% in the last financial year and currently operating 463 stores, with 44 being eKasi container formats.

Their plan includes adding 36 new stores in 2025 and targeting 1 000 stores within five years, with a focus on existing buildings and commercial land in underserved communities.

ALSO READ: Local leaders oppose the registration of foreign-owned spaza shops

‘Big exploiters’: Market impact and media response

The introduction of these container stores has not been without controversy.

Social media reactions were mixed where some were convinced that the idea of mini formal supermarkets could aid the tuckshop problem.

One user, @ChrisExcel102, argued: “We can complain all we want but this is the only way we can compete… At least they rent from SA landlords, hire SA workers, pay tax, manufacture SA products.”

“It doesn’t make me completely happy but it’s way better than the poison we are getting right now,” another user added.

Others were more skeptical. @VhoMabu noted said this initiative needed to be given a rest.

“The market share is enough for everyone to make something. There are products you won’t get at Usave that spazas can sell. Do they sell loose eggs? Do they sell sniggles? Bo my friend never closed down because of Usave.

“It’s hard for me to believe the Usave conspiracy because the models and purposes are different from one of a spaza. You ever seen someone buy full groceries from a spaza? Do they want a piece of the market share, yes, but to think spazas will struggle because of them? Hai,” she added.

Others even said that big retailers could be exploitative even if they come in the form of mini stores.

“This is exploitation proudly being brought close to our homes. Shoprite and Pick ‘n pay are big exploiters of our brothers and sisters,” said @Mr_Mageza.

ALSO READ: Tshwane urges owners to register spaza shops: Here’s where you can apply

Business and community perspectives

Speaking to The Citizen, Professor Bonke Dumisa, an independent economic analyst, suggested that township residents need to move beyond what he calls “township thinking” and reduce their sense of entitlement.

“When we grew up we had very reliable good spazas at every corner by the families in the township, who did not expect and wait for government to do things for them,” he said.

Questioned why many shops are now owned by foreigners, he said it was partly because of “our own doing as black people when we don’t want to support each other”.

Dumisa offered insights into potential collaborations, emphasising the importance of working together and challenging the current business mindset.

“We need to change our mindset,” he stressed. “It is not genetic that we cannot run successful businesses, but there has been this unfortunate mindset from 1994 that government must do things for us. Black people must make things happen and not have the culture of entitlement that government must do things for them.”

Expert perspective on spaza shops vs container retail stores

Discussing the emergence of container stores by formal retailers, Dumisa said while he thought it was unlikely, Shoprite and other formal retailers could partner with existing, reputable businesses in townships, offering alternatives to informal shops.

He emphasised that while they might explore collaborative opportunities, he suggested they are unlikely to rent residential spaces for stores. He noted that as the largest retailer in South Africa, Shoprite has significant resources but would be strategic about their locations, preferring commercial spaces over residential areas.

Dumisa added that they would be careful about their public image and avoid potential accusations of imposing themselves on communities.

The professor saw their potential involvement as conditional on finding suitable, professionally appropriate spaces that align with their corporate standards.

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