Boosting informal trade to grow the local economy

EThekwini Municipality was the first metro to approve and adopt an Informal Economy Policy to regulate the informal trading sector. The policy provided guidance on how to best support and develop the sector.

Michael Hlangu, senior manager: Informal Trade at eThekwini, presented a progress report to the eThekwini Economic Council on 15 March 2023.

Key projects

During his presentation, Hlangu highlighted projects that are underway and are expected to be completed in the next three months. This includes new developments and the upgrade of existing infrastructure. Projects include:

• A new R40 million KwaMcoyi Traders Project in Hammarsdale. The development includes the construction of trading shelters, storage facilities, installation of containers, a cold storage room for perishable goods and ablution facilities. It will benefit about 52 traders.

• A newly built R13 million business hive in KwaMashu A - Hostel Trader’s Facility (KwaMazambane) in Ward 39, which will accommodate 32 small businesses.

• A new R12 million Blue Lagoon Trader’s Facility (at the beachfront) located in Ward 27, which will accommodate 36 informal traders.

• The R12 million Cornubia Retail Facility, Phase1B in Ward 102 will house 33 local small businesses.

• A new R6 million Folweni Business Hive development is almost complete. This project will accommodate 28 local businesses.

• The Tara Road SMME Hub in Ward 66 is receiving a facelift of R2.8 million. These renovations will assist in accommodating more small businesses, incorporating 120 flea market vendors.

• KwaMashu Station Traders shelters in Ward 45 is currently being renovated to the value of R3 million. This includes constructing new toilets and a storage facility, as well as adding a cold storage room. The facility accommodates 45 food sellers.

• Construction of a R1.8 million St Windolins Container Park in Klaarwater in Ward 17 is complete. Around 35 businesses will benefit from this development.

• The upgrade of the Bester Container Park in Ward 42 in Inanda to the tune of R3 million is also complete. Bester Container Park accommodates 18 informal traders.

• A R4 million budget is set aside to build a Midway Container Park in Ward 38. This will accommodate 42 informal traders outside the Midway Shopping Centre. Construction will begin in July.

Hlangu said they also support informal recyclers operating in Isiphingo, Palmer Street (North Beach), KwaMashu and Hammarsdale. They are supplied with tools and equipment, as well as a monthly stipend. The project value is R1 million.

Bulk Buying Programme

The Bulk Buying Programme is currently being piloted at 80 spaza shops in different townships in eThekwini.

The programme is a partnership between the City and the KwaZulu-Natal Economic Development, Tourism and Environmental Affairs Department.

Participating spaza shop owners were given cashless ATM machines. The devices aim to attract customers to their stores, as the cashless ATM allows customers to pay for DStv, buy airtime and perform SASSA transactions. They can also place orders from various wholesalers.

The device functions as a self-service kiosk from which customers from any bank can make withdrawals and view balances.

“R10 million has been invested in the Bulk Buying Programme. We intend on increasing the number of shop owners in the programme to 180. Most of the shop owners in the pilot said the cashless ATM has increased foot traffic into their stores,” added Hlangu.

Research by Tourism KwaZulu-Natal shows that this coastal province continuously has the best hotel occupancy rates in the country, which is no surprise given its wonderfully warm and sunny subtropical coastal climate, beautiful Blue Flag beaches, and huge range of activities to choose from.

Business tourists also benefit from its award-winning facilities that have attracted major events like the International Aids Conference at the Durban International Convention Centre twice – which was only the second time in the event’s history that it returned to the same city.

Venues and accommodation

According to a Tourism KwaZulu-Natal report published in December 2021, the province has 248 hotels, 308 guesthouses, 197 lodges, 586 B&Bs and 322 conference venues.

The biggest eventing venue in the province is the internationally acclaimed Durban International Convention Centre (ICC). It offers the largest column-free, multipurpose event space on the African continent, and has successfully hosted international and national conventions, exhibitions, sporting events, concerts and special occasions of every kind, while its state-of-the-art technological capabilities allow for live-streaming events, remotepresentation events, hybrid events, and video-on-demand.

The Durban ICC has scooped up various accolades, including being voted ‘Africa’s Leading Meetings and Conference Centre’ by the World Travel Awards no fewer than 17 times. It is also ranked in the world’s Top 15 Convention Centres by the International Association of Congress Centres (AIPC).

It is a 30-minute drive from King Shaka International Airport, and a 10-minute walk to over 3 600 hotel rooms.

For smaller (but not exactly small) events, it’s worth considering escaping to Zimbali Estate, which is a 50-minute drive from Durban up the North Coast. The elegant Capital Zimbali Hotel includes a Conference Centre with five venues and two meeting rooms, which can host upwards of 700 delegates or 500 in banquet style. The recently revamped hotel has 154 luxury rooms, apartments, presidential suites and penthouses, as well as several luxury villas, plus eight food and beverage options, a tranquil Mangwanani Signature Spa, and the gorgeous Valley of the Pools, which