Police and spaza shop leaders have raised the alarm over a new criminal threat moving through South Africa’s township economy.
KwaZulu-Natal police commissioner Lieutenant-General Nhlanhla Mkhwanazi told MPs that law enforcement has identified gang activity linked to some spaza shops.
He said police had seen gangs operating through spaza shops, not because the shops themselves were necessarily the main money-makers, but because they allegedly help cover other illicit activity.
The concern is serious. Spaza shops are a key part of daily life for millions of South Africans. They serve communities where big retailers are often far away or too expensive to reach.
Counterfeit Goods Spark Concern
Michael Ramothopo, deputy president of the South African Spaza and Tuck Shop Association, said the issue is growing.
He said the association has received mounting complaints from communities about fake and duplicated products moving through informal retail channels.
Ramothopo said the association set up a national hotline after the deaths of children in Soweto last year. The hotline helped track public complaints about suspicious products.
He said many complaints involved duplicate goods that looked like fast-moving consumer products people already know and trust.
According to Ramothopo, there are also concerns that counterfeit goods may be produced in hidden manufacturing sites before entering township retail networks.
Businesses and Consumers at Risk
Ramothopo warned that illicit trade is damaging legitimate businesses and the wider economy.
He said associations, government and the private sector need to work together to protect businesses and stop the spread of illegal goods.
The impact goes beyond shop owners. Ramothopo said illicit trade can destroy jobs and lead to lost tax revenue.
He also stressed that consumer safety depends on regular inspections.
“Regular inspections are very critical to people not losing their lives,” he said.
Hawks Seizure Highlights the Threat
A recent Hawks operation in Boksburg showed how serious the counterfeit goods problem has become.
The Hawks found an illegal detergent manufacturing site in Windmill Park informal settlement. Authorities seized chemicals and finished products, including thick bleach, fabric softener, dishwashing liquid, foam bath and ammonia-based cream cleaner.
Hawks spokesperson Colonel Katlego Mogale said the products were allegedly mixed in 200-litre barrels and repackaged into recycled containers carrying labels of well-known brands.
Forensic tests will now determine what the seized products contain and whether they break the law.
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