August 10, 2007
By Millicent Kgowedi
INFORMAL traders in nine areas across Joburg have been moved to more suitable trading spaces after the City identified their original spots as "restricted".
The growing sector is an integral part of Joburg's economy. However, without control over it, the City is unable to manage and promote it. With control, Johannesburg is more able to maintain standards of hygiene and waste removal, and deal with crime.
The nine areas are in Sandton, Midrand, Sunninghill, Randburg, Cosmo City, Baragwanath, Kliptown, Fordsburg and Bruma. The moves were made under the Business Act, and the City issued notices of its intention to declare restricted trading areas. It planned to relocate informal traders in these areas to more fitting markets. Some were relocated as they were working in areas where informal trade was banned.
"The Business Act is … legislation that establishes traders' right to trade and sets out procedures for the restriction of this right through the declaration of restricted or prohibited areas," said Xolani Nxumalo, a project consultant in the City's economic development department.
Nxumalo explained that when traders operated in markets allocated by the City, it was easier for the City to manage, promote and control this growing sector. He also believed that moving traders to assigned markets would help them to manage and sustain their businesses better.
Workshops
Workshops were held at these restricted areas, informing traders of the City's plans.
"The workshops were aimed at helping the informal traders to understand why there were restrictions in certain areas. The message was communicated carefully, although there is no requirement in the Business Act on local government to reach consensus on a declaration of prohibited or restricted trading areas."
About 18 traders from Maude and Fifth streets in Sandton have been moved temporarily to a market on Rivonia Road. "The area is located on Rivonia Road, parallel to [Nelson] Mandela Square. The market will be used temporarily until the Gautrain project in the area is complete," Nxumalo said.
A Johannesburg Development Agency project: the stalls in the Randburg Market
Further north, in Midrand, traders had been moved to allocated space inside the taxi rank opposite Boulders Shopping Centre, Nxumalo said. There were only "about five" traders outside the Sunninghill taxi rank. They had not been moved, but facilities had been provided to ensure safe and manageable trading.
Moving westwards, traders working in the Randburg central business district were assigned to a market that was redeveloped by the Johannesburg Development Agency. "The trading stands will accommodate about 120 informal traders; in line with its informal trading policy, the City will demarcate further trading areas outside the market."
In Cosmo City, which is still being built, trading would only be allowed in demarcated markets. Nxumalo said that the City had provided four sites, including the taxi rank, for the informal traders.
In the southwest, traders opposite Chris Hani Baragwanath Hospital would be moved into a purpose-built market once phases three and four of the Baragwanath Public Transport Facility and Traders Market were completed.
"Baragwanath Transport Facility and Traders Market is one of the biggest projects. People are currently selling outside the construction site. All traders awaiting relocation to the site will be issued temporary permits by the Metropolitan Trading Company."
The company is a municipal-owned entity that owns and manages its markets. It has set up several programmes to ensure informal trading and the taxi industry run smoothly.
In the Kliptown business district and around Walter Sisulu Square, traders had been moved to a market in the square that was managed by the City, Nxumalo said. Similarly, over in Fordsburg, around the Oriental Plaza shopping centre, traders had been moved to a redeveloped market managed by the City.
The private sector had stepped in at Bruma Flea Market, allocating stands outside the flea market, on Oppenheimer Road. Trading would only be allowed in demarcated trading areas.
Economic benefits
Informal traders sell a wide range of goods, such as fresh produce and food, electronics and household goods, decorative and collectable items, clothing and candles, matches and cigarettes.
Nxumalo added that according to the most recent figures from Stats South Africa, informal trading contributed as much as 4,5 percent to the national gross domestic product, benefiting millions of people directly and indirectly.
According to its informal trading policy, the City of Johannesburg views the sector as a positive activity as it contributes to the creation of jobs and the alleviation of poverty; it also has the potential to expand further the City's economic base.
However, the policy also highlights problems that arise when informal trading is not well managed or monitored. These include grime, litter, congestion affecting road and pedestrian traffic, hygiene and safety risks, fire risks associated with open fires and primus stoves, and blockages of storm water drains caused by the dumping of substances that are not supposed to be dumped in them.
Nxumalo said there were also many negative perceptions of informal trading, such as the obstruction and littering of pavements by the hawkers, "the degeneration of the environment from a hygienic point of view and a general lack of enforcement of the legislation".
"The City has committed itself to providing infrastructure and facilities for the co-ordination of trading," he added.
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