Feature

2010: Trading on an uneven playing field

    by Quraisha Daya

Margaret Ntuli* could not make enough money today, to afford transport home. As a street trader at Durban's beachfront selling handmade crafts and curios, business is often so dismal, that many of her nights are spent sleeping on the callous asphalt in fear of patrolling policemen who have chased her away many times before. While the country eagerly awaits the 2010 World Cup and an escalation in revenue due to the anticipated boom in tourism, Margaret Ntuli is not as enthusiastic about the event, 'I don't think I will benefit from the world cup,' she says, 'everyone just bypasses us - it is only the big businesses that will make money.'

Her sentiment is echoed by a myriad of street traders in the Durban municipality region. As part of an IOLS Honours group project, we have targeted five hubs of informal trade - Warwick Junction, the Beachfront, Durban Station, West Street and the Workshop in order to research the perceptions of street traders on their potential businesses opportunities in 2010. Inevitably, the formal sector, encompassing the tourism, finance and recreation industries will be the primary benefactors of this international event. Even so, the extent to which these opportunities will reach the informal sector is questionable. While euphoria embraced the nation as South Africa triumphed in the race to win the bid to host the event, a stark shift in mindset has occurred in recent years, as many have realized that 'the World Cup is not for everyone.' According to Emanuel Dlamini, head of the Traders' Association at Warwick Junction, street traders are still taken for granted and looked down upon, and no mention has been made of implementing the initially planned deals between formal and informal businesses, regarding use of the Fifa logo. 'Government is confused,' he says, explaining that the Informal Development Policy has changed in order to facilitate the growth of the informal sector. Yet, with the advent of international events such as the Fifa World Cup draw held at the ICC last year, traders around the Workshop area were shut down. 'We did not know where to go,' said one trader, 'and we have heard that in the two months of the world cup, there will be no market. I have 5 children to support and I might have to look for a job.' This type of uncertainty is slowly creeping its way into the minds of many who once thought that the event would herald great profit and opportunity.

Since December last year, there has been a general decline in business, even though traders in Warwick Junction experience a constant flow of traffic. Rentals soar, yet security and parking concerns, along with the influx of cheap Chinese goods and the overall rise in inflation, has hit traders hard. Many stated that tourists are told not to visit these 'dangerous' areas, so they have not benefited from international events in the past, and do not see the 2010 World Cup bringing in any additional revenue. Coupled with such instability, are the cleverly euphemized cleanup campaigns undertaken throughout the country, in order to present to the world a picture perfect South Africa. Traders surrounding the Durban Station have been harassed and fined on various occasions by Durban Metro police for selling their merchandise on wooden tables, which 'degrade the aesthetics of the city', even though they have legal, permits to trade there.

Many claim that they know they will be swept under the rug come 2010.

These allegations are nothing new to Philip Sithole of the eThekwini's Business Support Unit, which is responsible for registering traders and allocating them sites. 'Most of the time, these allegations are not true,' he said, 'street traders want to create media attention and sway the public - people are quick to blame government, but we do support informal traders.' However, Emanuel Dlamini explained that the altercations between traders and police rests in the discrepancy between the constitution and the bylaws of the Municipality - they are divergent on the subject of the informal sector and according to him, Metro police are still using the previous bylaws.

In anticipation of the 2010 World Cup and other international events, Sithole explained that various training programs will be implemented in July 2008, by the Business Support Unit, in order to ensure the success of street traders. The first of these programs involves business language, where traders will be taught the basics of foreign languages in order to communicate with tourists as well as calculate exchange rates. Secondly, training in quality management of products, especially handmade goods to meet the expectations of an international market and thirdly, food sellers will be taught to adhere to international standards of excellence in terms of health regulations and the preparation and presentation of food. One of the main projects, which will directly impact the informal sector in terms of location, is the establishment of flea markets specifically designed for the event, particularly along the beachfront. The markets will also be used as an alternative venue for traders if sites such as the Workshop market are shut down during the World Cup as well as for small businesses from rural areas who wish to trade. He stated that those currently trading in these areas will not be relocated, but if the area is required for the 2010 event, alternative trading sites will be provided.

The problem, Sithole mentioned, is that traders do not want to leave their stalls and attend the programs.

However, the Unit has yet to identify the flea market sites as well as the venues for the training programs, but according to Sithole, 'there is enough time.'

But time is in fact, running out. As Emanuel Dlamini points out, traders must be told immediately where and when they need to move or which merchandise they may sell. 'Instead of telling people beforehand, they will tell them about the plans next year,' he says, 'this will cause a lot of rioting - I can see that happening. So instead of crime decreasing, it will increase because of the lack of communication.' Communication between informal and informal sectors, between government and traders and between the police and traders is problematic. The fundamental lack of understanding may escalate into widespread confusion and great losses for all.

Bearing in mind the 2009 South African elections, the focus of many people next year will once again shift away from the informal sector, with parties making empty promises and swaying votes - benefiting from 2010 will no doubt be on the agenda.

What many street traders do not realize, is that even though parties or councilors may plan for their success, essentially, the Fifa bylaws will reign supreme during the event. Factors such as merchandise, logo's and trading zones will be demarcated by Fifa which will change the country's bylaws for all sectors. One such bylaw is that traders are prohibited from trading within a 7km radius of the stadiums.

The bylaws, according to Dlamini, are difficult to understand and do not appear to help anybody. Upon further investigation, many traders agreed that they would like to change their merchandise or relocate closer to the stadiums come 2010. There has been no mention of the plans put forward by the Business Support Unit. Dlamini highlights that these considerations should have been taken into account at least 6 months ago, but a meeting with the Fifa committee has not been scheduled yet. 'Tell people the truth,' he says, 'the world cup is not going to happen correctly if something is not done soon - 2010 is now.' Quite obviously, the urgency with which concerns need to be met cannot be underestimated.

*not her real name

Quraisha Daya is an honours student at Industrial Organizational & Labour Studies, UKZN.