Registration of a small scale industry
I own a factory that produces baskets using the latest technology but do not have a large capital, so we produce at a small scale. Our products are very popular in the market due to their quality. This has necessitated an increase in production to meet demands. I currently have six employees but will employ more workers because the decoration work is done by hand. Is there a requirement to register this factory?
WS, Lindi
Congratulations on your success. The law governing registration and licensing of industries is the National Industries (Licensing and Registration) Act [Cap. 46 R.E 2002]. Section 2 of this law defines an industry as any factory in which 10 or more workers are employed on any day. According to section 6(1) no person shall establish any industry unless he has obtained a certificate of registration in respect of the industry. Failure to register as required by the law is an offence. You are therefore advised to make an application to the Registrar of industries if your factory will employ 10 or more workers.
In regards to registration, section 8(1) provides that every application for a certificate of registration shall be made to the Registrar and shall give such particulars as may be prescribed. Further, upon receipt of an application and on being satisfied that all the particulars required to be given therein have been given the Registrar shall issue a certificate of registration in the prescribed form in respect of the industry. Your lawyer can guide you further on this process.