The Function of Street Trading and Legal Responsibilities: An Analysis of Kouga Local Municipality, Eastern Cape-South Africa

Abstract

Street vending is an important aspect of the informal economy, offering job opportunities and low-cost products to the community. Nonetheless, it brings up several legal issues, such as licensing obligations, public health and safety, urban development, and clashes with existing enterprises. This paper examines the legal structure overseeing street trading, emphasizing important regulations, case examples, and the difficulties encountered by street vendors.

For this reason, the study investigated the contribution of street trading in sustaining livelihoods in Kouga Local Municipality. This was achieved by investigating the factors that contribute to street traders’ sales income and, thereafter, determining the impact of income derived from street trading on the household. Furthermore, the study investigated the socio-economic status of street traders in Kouga Local Municipality to understand the role played by the Municipality in sustaining the livelihoods of street traders.

In achieving the objectives, the study employed a mixed methods research design, incorporating qualitative data collection and a combination of content and statistical data analysis. In collecting the data, the study included participants engaged in street trading in Kouga Local Municipality.

The findings revealed that the street traders derived an income greater than R945.00 per month. This proved that street trading could mitigate poverty in Kouga Local Municipality, as most of the street traders earned a sufficient income to live above the food poverty line, which equates to R663, and also the lower bound poverty line, which equates to R945.00.