Women Entrepreneurs seek govt’s intervention to ease procurement processes

Some Women Entrepreneurs have called on the Federal Government to tackle challenges faced by Women-Owned Businesses (WOBs) in public procurement process to promote women economic empowerment in the country.
The women, who spoke in a separate interviews with News Agency of Nigeria (NAN), Abuja, on Tuesday, decried the challenges being faced by Women-Owned Businesses and called for their increased participation in public procurement.
Mrs Dooshyma Kumbur, Chief Executive Officer, DOVIERK Rehoboth Ltd., listed some of the challenges being faced by WOBs as lack of institutional framework and capital, multiple taxation and Tax Clearance Certificate (TCC) demand among others.
The entrepreneur noted that although TCC was one of the requirements in procurement processes it remained one of the biggest issues because of the administrative bureaucracy hurdle a contractor needed to cross to obtain it to qualify to bid for contracts.
Kumbur wondered if the category of business owners who were exempted from paying Company Income Tax (CIT) according to the recently passed Finance Act would still be qualified to obtain TCC.
The act was designed to develop businesses as income levels below N25 million attract zero per cent taxation and above N25 million but below N100 million will attract 20 per cent tax and above N100 million income will attract 30 per cent tax.
Kumbur, former Benue State Governor’s Aide on Community Relations, said that in Nigeria, tax clearance certificate was required for contract purposes.
He, however, noted that most times one passed through great difficulty to obtain it from the Federal Inland Revenue Service (FIRS).
“Most times after paying so much money to get the certificate, at the end, the contract may not be awarded to you. Government should address this bottleneck and equally stop multiple taxes.
“It is the entirety of the public procurement process, including TCC, being one of the vital documents alongside the taxes, of which one is not sure how Nigerians benefit from them.
“Government should look into taxes such as: Educational Tax, whereas Parents/Teachers Associations (PTA) are the ones running public schools.
“Industrial Trust Fund (ITF) also compulsorily charges one’s company a certain percentage on the company’s annual turnover.
“National Pension Commision (PenCom) also requires insurance of minimum of five staffers of one’s company, whereas we lack some infrastructure and public amenities,” she noted.
She added that there was no guarantee that a company which paid all those over burdened taxes could get patronage from the contract.
“However, it’s expected to keep paying such taxes year in, year out,” she said.
The entrepreneur urged government to look into the challenges that were militating against WOBs and Small and Medium Enterprises (SMEs) to reduce the burden of doing business in Nigeria.
This, she said, would equally make Nigerians to stop running to other countries either illegally or legally in search of greener pastures.
Mrs Angela Ajala, President, African Women Entrepreneurship Programme (AWEP), also described the requirements needed for public procurement compliance as mind boggling.
“Many times women do not stand a chance. Even where the woman meets all the requirements she has to contend with the committee headed by men.
“There has to be a deliberate policy giving or allocating a percentage of all such contracts to women who qualify,” she said.
The AWEP president said that the procurement market made up to 15 per cent of the Gross Domestic Product (GDP) and, given the size of the country and government, it had the potential of promoting economic growth.
Ajala emphasised that since government procurement was an important dimension of International trade, making it inclusive would spur the growth of SMEs which would in turn reduce unemployment, youth restiveness and poverty.
“Women are in the margins of decision making so pushing this will need clear strategies.
“Government, therefore, needs the political will and courage to advocate and implement at all levels a minimum of 40 per cent inclusion,” she noted
Mrs Nkeiru Okpala, National Coordinator, Women in Services also called for more advocacies, especially in Ministries, Departments and Agencies, for gender inclusive policies in the procurement Act.
Okpala, a legal practitioner, called for centralised registration by Bureau of Public Procurement, fair policies, secured government contracts and enabling environment among others to expand opportunities globally for women entrepreneurs. (NAN)