Foreign business owners in South Africa’s townships cannot expect to co-exist peacefully with local business owners unless they share their trade secrets‚ says Small Business Development Minister Lindiwe Zulu.
The government is assembling a task team to address violence and tension between local and foreign business owners.
Looting of foreign-owned businesses spread to Ekurhuleni on Monday. On Tuesday, Zulu called for stronger regulation of foreign business operations in townships to be fast-tracked.
On Monday she said foreign business owners had an advantage over South African business owners in townships. This was because local business owners had been marginalised and been offered poor education and a lack of opportunities under apartheid. “Foreigners need to understand that they are here as a courtesy and our priority is to the people of this country first and foremost.
“A platform is needed for business owners to communicate and share ideas. They cannot barricade themselves in and not share their practices with local business owners‚” Zulu said.
Criminality‚ looting and murder would never be condoned‚ she said‚ adding that these took attention away from the valid concerns from local business owners about businesses which did not operate according to the law.
Muhammad Osman of the Somali Association of SA in the Western Cape said if the government intended to regulate foreign business then all businesses in township areas needed to be regulated on a level playing field.
Research fellow at the SA Institute for International Affairs Peter Draper said Zulu’s remarks‚ underscored the government’s mistrust of foreign investors which was also reflected in business regulations. “If you connect this to the broader picture‚ essentially this is part of a thrust to single out foreign business‚ which is contrary to the political message President Jacob Zuma went to portray in Davos. We are at a tipping point and we are going beyond it. You can only push foreign business so far before they disengage‚” he said.
Draper agreed with Zulu’s remarks on the effect of apartheid on local business owners in townships. “Apartheid did disadvantage black people and over generations it inhibited social capital. Many foreigners have trading entrenched in their blood. Wherever they go they bring social capital‚ networks and extended family. Is that unfair? I don’t think so. That’s life‚” he said.
Zulu’s comments highlight the about-turn in the ANC’s ideology of pan-Africanism. After a week of looting in Soweto, ANC secretary-general Gwede Mantashe told residents in Doornkop that immigration laws needed to be strengthened to protect the country from terror.
Zulu urges foreigners to share trade secrets
Foreign business owners in South Africa’s townships cannot expect to co-exist peacefully with local business owners unless they share their trade secrets‚ says Small Business Development Minister Lindiwe Zulu.
The government is assembling a task team to address violence and tension between local and foreign business owners.
Looting of foreign-owned businesses spread to Ekurhuleni on Monday. On Tuesday, Zulu called for stronger regulation of foreign business operations in townships to be fast-tracked.
On Monday she said foreign business owners had an advantage over South African business owners in townships. This was because local business owners had been marginalised and been offered poor education and a lack of opportunities under apartheid. “Foreigners need to understand that they are here as a courtesy and our priority is to the people of this country first and foremost.
“A platform is needed for business owners to communicate and share ideas. They cannot barricade themselves in and not share their practices with local business owners‚” Zulu said.
Criminality‚ looting and murder would never be condoned‚ she said‚ adding that these took attention away from the valid concerns from local business owners about businesses which did not operate according to the law.
Muhammad Osman of the Somali Association of SA in the Western Cape said if the government intended to regulate foreign business then all businesses in township areas needed to be regulated on a level playing field.
Research fellow at the SA Institute for International Affairs Peter Draper said Zulu’s remarks‚ underscored the government’s mistrust of foreign investors which was also reflected in business regulations. “If you connect this to the broader picture‚ essentially this is part of a thrust to single out foreign business‚ which is contrary to the political message President Jacob Zuma went to portray in Davos. We are at a tipping point and we are going beyond it. You can only push foreign business so far before they disengage‚” he said.
Draper agreed with Zulu’s remarks on the effect of apartheid on local business owners in townships. “Apartheid did disadvantage black people and over generations it inhibited social capital. Many foreigners have trading entrenched in their blood. Wherever they go they bring social capital‚ networks and extended family. Is that unfair? I don’t think so. That’s life‚” he said.
Zulu’s comments highlight the about-turn in the ANC’s ideology of pan-Africanism. After a week of looting in Soweto, ANC secretary-general Gwede Mantashe told residents in Doornkop that immigration laws needed to be strengthened to protect the country from terror.
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