Call for tariff rise to protect small firms |21 October 2008

Sylvianne Valmont, chief executive of the Small Enterprise Promotion Agency (Senpa) said this yesterday, adding that the climate for small businesses is very good at the moment.

She urged people who are looking for a job to consider joining the sector and take the opportunities it offers.

“It is important that government provides protection for the small business sector following increased imports of products that can be easily made in Seychelles,” she said.

She said adjusting the tariffs will remove undue competition for the sector whose current 114 businesses employ about 1,000 people, who she said not only make items like statuettes for the tourism industry but are also in garages, computer servicing, graphic design, and cottage industries such as making burglar-proof bars and cards.

Items needed, for example, for the craft industry attract up to a 100% tariff but Senpa is lobbying for a “reasonable” upward revision of the rates.

“There are traders who import, for example, statuettes in bulk from overseas and  thus give locally made ones undue competition. Yet we have some similar items of very high quality made by Seychellois,” she said.

She reminded local manufacturers whose goods are not up to the standard expected to try to improve “so as to give value for the money they are asking”.

Mrs Valmont said small businesses help to create wealth and their income up to R250,000 will continue to be untaxed.

She said government is doing everything it can to boost small businesses and she reminded those whose licence requirement has just been removed that they should register with Senpa and get certificates to show they are seriously involved in trade.

She said the certificate can be used, for example, while applying for foreign exchange to buy goods for their businesses and noted there are now three outlets, including the main one at Camion Hall, offering raw materials for the craft sector.

Mrs Valmont said whatever proposals potential businessmen and women may have, they should consult Senpa for advice, which could include reference to the Concessionary Credit Agency run by the Ministry of Finance and giving loans of between R10,000 and R25,000.