The scope and scale of the informal food economy of South African urban residential townships: Results of a small-area micro-enterprise census

ABSTRACT

Growing urbanisation in South Africa is reflected in burgeoning Working class and informal township settlements on the fringes of its major towns and cities. Paired with this is an increasing reliance on cash as the primary means of economic transaction, which has in turn stimulated the growth of micro-enterprise business activities within the township context. This article discusses the findings of an eight-township small-area census which occurred between 2010 and 2013 in Cape Town, Johannesburg, Ekurhuleni and Durban townships representing 250  000 residents. The researchers were able to establish the scope and scale of informal food and drink retailing in these localities. Of the 10  049 micro-enterprises located in the study, some 3966 (or 39% of the total) trade in food. These include enterprises in primary production, fresh produce retailing, grocery retailing from house and spaza shops, and informal foodservice enterprises. Food is the basis for much township informal business and plays an important role in making food increasingly affordable and locally accessible, and in creating cash employment. The article builds on the knowledge base of the township informal economy role in bolstering food security needs for the marginalised.

KEYWORDS:

• Informal economy
• food security
• micro-enterprise

Acknowledgements

With thanks to Beth McKay, Rory Liedeman, anonymous informal-sector informants and reviewers. Thanks to Justin Patrick for Figure 1.

Disclosure statement

No potential conflict of interest was reported by the authors.