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12.0 Business premises: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005

Written by: International Labour Organization

Article Overview: Tanzanian MSMEs face serious problems being able to access proper business premises. A large proportion of informal economy enterprises operate along the roadside.

12.0 Business premises: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005

12.1 Lack of premises

Tanzanian MSMEs face serious problems being able to access proper business
premises. A large proportion of informal economy enterprises operate along the roadside.
MSMEs find it very difficult to acquire plots for constructing proper business premises
because of bureaucracy, corruption, and the very limited number of surveyed plots
(UDEC, 2002). To address this market failure, “improved access to infrastructure by
SMEs” is one of the priority sub-programmes targeted for implementation in the
SMEDP.

In many communities, there are inadequate facilities and premises for women to
expand their businesses. This applies to the expansion of manufacturing businesses, such
as those in food processing, and to small producers who are unable to secure proper
market stalls to present their products to buyers.

The ILO (2003) report recommended that a collaborative effort be undertaken
between the MIT and SIDO41 to identify appropriate land, service it, and build affordable
production facilities so that women in growth-potential sectors can set up formal
enterprises and expand their operations. This has already been done to some extent for
women in food processing (the UNIDO-supported project), and the same model could be
used for other sectors (e.g. soap-making, garment-making). The concept of incubators
should also be expanded, ensuring that women operators have equal access to incubator
space.

12.2 Recommended actions – premises

(i) Increase the supply of premises, equipped production facilities, and incubators.
It is recommended that:

• the MIT spearhead an initiative to make production facilities available in sectors in
which women are predominant;
• fully-equipped incubators be established for key sectors (e.g., textiles, foodprocessing)
to give women access to production premises and appropriate
technologies that will enable them to expand their enterprises;
• district/local governments designate land where women can build market stalls and
gain better access to market opportunities.
• these work spaces be offered to women on an affordable lease basis, thereby reducing
the capital costs of growth.

Related Articles
  1.2 Mission Objectives: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005
  8.0 Promotion of women’s entrepreneurship: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005
  1.3 Methodology: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005
  14.2 Recommended actions – women entrepreneurs’ associations: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005
  1.1 Background and Introduction: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005

Article Tags: food processing, production facilities, production premises, proper business, women



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