KZN taxi industry generates more than R20bn a year, says MEC Duma

At the South African National Taxi Council’s (SANTACO) 25th anniversary gala dinner in KwaZulu-Natal: Mathula Mkhize (KZN SANTACO), left, Siboniso Duma KZN MEC for Transport and Sbu Ndebele former KZN Minister of Transport

KZN Transport MEC Siboniso Duma says the province’s taxi industry transports more than five million commuters daily and supports over 100,000 jobs.

Duma highlighted the industry's economic contribution and transformation over the past 25 years as the South African National Taxi Council (SANTACO) marked its silver jubilee with a gala dinner at the weekend.

In a statement, Duma said the anniversary provided an opportunity to recognise the organisation's role in transforming the public transport sector and improving people's lives.

“We gathered not only to celebrate the anniversary of this giant organisation but to reflect on the critical role SANTACO has played over the years in improving the quality of life of the people of this province and the country,” he said.

Duma said the taxi industry had undergone significant changes since apartheid, when Black African taxi operators faced restrictions on legally participating in the formal public transport sector.

He said applications for operating permits were deliberately rejected, forcing many Black entrepreneurs to operate illegally.

Duma credited the democratic government under former president Nelson Mandela with spearheading transformation, singling out former KZN Transport MEC Sbu Ndebele for his role in expanding Black participation in the industry.

“With the initial budget of only R8 million, he ensured that the department fast-tracked the entry of Africans into the public transport sector,” Duma said.

He said the industry had since evolved, with taxi operators building successful businesses and some expanding into bus operations.

Duma said the ownership of high-value minibus taxis demonstrated the growth of Black entrepreneurship and the industry's increasing business capacity.

“Critically, today we talk about fully fledged entrepreneurs who are operating Toyota Quantum minibus taxis – each worth over R1 million,” he said.

He also called for a change in attitudes towards successful Black businesspeople, saying negative perceptions continued to undermine recognition of their achievements.

“We must therefore celebrate this success – be proud and continue to disappoint the doomsayers,” Duma said.

According to the MEC, KwaZulu-Natal has more than 25,000 taxis transporting over five million commuters daily. The industry generates more than R20 billion annually and employs more than 100,000 people, with employment continuing to grow.

Duma further said more than 8,000 taxis in the province were owned by women operators, highlighting their contribution to the industry.

He said the taxi industry remained a critical part of the province's public transport network and an important contributor to job creation and economic transformation.