PRIME MINISTER’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

1. PRIME MINISTER’S OFFICEREGIONAL ADMINISTRATION ANDLOCAL GOVERNMENT Theme: The Government’s Programme to relocate Small Traders to designated areas Venue: SDC Conference Room Date: 18 January, 2007 Presented by: O.P. Mtei Assistant Director Directorate of Local Government (Service Delivery)

2. Synopsis of the Paper • Introduction • Government Procedures for small and medium scale trading activities. • Operationalization of the relocation exercise. • Implementation status. • Sustainability of the small scale trade in Tanzania. • On-going small trade interventions. • Way Forward. • Conclusion.

3. 1.0 Introduction: • Importance of small traders business in urban and rural communities i.e. employment creation, income generation, GDP contribution 25 – 40%. • The government awareness of the growing small trade business in both urban and rural areas. • Planning and relocation of small business to foster formal growth and its contribution to the MDGs, and to the national vision 2025.

4. 2.0 Government Procedures for Planning Small and Medium Scale Trading Activities • Development activities and general requirements for development – (policies, laws, regulations set by government). • Requirements in the development of small and medium scale enterprises in urban centres (adhere to the respective Acts established by the responsible ministry e.g. Land Act 1999, and the Town and Country Planning Ordinance Cap 378 of 1956 as amended in 1993, under the Ministry of Lands, Housing and Human Settlement.

5. These Acts and Regulations stipulate development requirements of all land in the urban areas including appropriate procedures for urban planning, land use and management.

6. 3.0 Other Supportive Policies and Legislations • The National Environment Policy – 1997 • Seek to sustain use of resources to meet the needs of the present and future generation. • Prevention of environmental degradation. • Health hazards including air pollution, and sanitation.

7. Promotion of healthy, productive and aesthetically pleasing surroundings. • Promotion of individual and community participation in the environmental action. • Promotion of international cooperation on the environmental agenda (through relevant bilateral, sub-regional, regional, and global organizations treaties and programmes.

8. (b) The National Human Settlements Development Policy - 2000 • seek to promote development of Human Settlement that are sustainable. • Facilitate provision of adequate and affordable shelter for all income groups.

9. (c) The National Trade Policy, 2003 • Recognizes environment and gender as cross-cutting issues and links growth and development to the optional use of resources. • Recognizes that the push for economic transformation (trade liberalization and private sector development) tend to lead to environmentally degrading practices and hence mitigatory strategies to promote environmentally sustainable production practices.

10. Strengthen the institutions entrusted with the execution and enforcement of environmental laws and regulations.

11. National Gender Policy, 1999 • Ensure gender strategies to eradicate poverty emphasis on opportunities for both women and men participate in development undertakings. Small trade practices are no exception.

12. National HIV/AIDS Policy, 2001 • Designates the LGAs as the focal points for involving and coordinating public and private sectors, NGOs and other groups in planning and implementing HIV/AIDS interventions especially at the community level. • Informal sector and small traders form vide groups on HIV/AIDS and hence government’s commitment in effective coordination of HIV/AIDS programmes including strategies for re-location of small traders.

13. Construction Industry Policy, 2000 • Policy promotes the application of cost effective and innovative technologies and practices to support socio-economic development activities e.g. water supply, road works, sanitation, shelter delivery and income generation activities.

14. Policy requires developers to ensure the application of practices, technologies and products which do not initiate or aggravate both the environment and human health risks. Hence the relocation of small traders conforms to the requirement of this policy.

15. Business Licensing Act of 1972 • Conditions for issuance of licenses prohibits people from conducting businesses in non-planned and in areas not recognized by designated authorities. • Most small traders conducted businesses in areas not authorized.

16. Operationalization of the Exercise • Small traders business practiced in areas not conducive for business (un-planned) not fit for business promotion. • Evidence of environmental problems e.g. pollution, health hazards resulting from dumping of solid waste, poor liquid wastes, eruption of communicable diseases . • Lack of security. • Poor living conditon. • Poor urban transportation.

17. The above issues led the government to take action of transferring small traders to planned areas. Implementation Status: • The PMO-RALG, Regional Secretariat and the Municipal Authorities in Dar es Salaam relocated small traders in allocated areas (plots) in the following order:

19. Prior to the re-location exercise a period of six months was used to inform the petty business traders of the government’s intention to re-locate them. • Allocation of space for transfers. • To conduct meetings with small traders to highlight the requirements of the government and the government expectations from the small traders.

20. On-going Small Trade Interventions • The re-location strategy is also considering the provisions of basic services e.g. water, toilet facilities, electricity, road network, construction of bus terminals. • Involvement of beneficiaries in the financing of services.

21. Way Forward • Provision of more space for small business in Dar Es Salaam Region. • New areas expected to be increased, business diversification (carpentry, and garages) with necessary basic services. • Involve community leadership in planning (Mtaa; Ward; and Division) and management.

22. Plan for appropriate security for property and individuals. • Provision of business education skills, access to credit through the current credit scheme by the government. • To scale up small business enterprises in other regions (attracting youth in other sectors like livestock and agriculture).

23. To seek support from development partners and other stakeholders e.g. Social Security Funds e.g. NSSF; PPF; PSPF; and LAPF; World Organizations like UNIDO; FAO; WFP; ILO; Plan International; CARE etc; our Local Organizations like SIDO; CTI; TCCIA; TACAIDS; VETA and Financing Institutions such as NMB; CRDB, etc. and the Private Sector.

24. Conclusion: • The Government will continue to make sure that communities (small businesses) run their business by following laws, regulations and procedures. • Will continue to create awareness through meetings, seminars, workshops to ensure the adherence of laws. • Stakeholders and development partners, private sectors are requested to support the government’s initiatives in order to improve the services provided by small traders.

25. Thanks for your attention.