Joseph Isangura
Police forces have been deployed in Mwanza as the traders’ strike in Tanzania continues for a third consecutive day, spreading to other regions, including Dodoma, Mbeya, Tunduma, Mwanza and Iringa. Law enforcement officers are patrolling the streets to ensure the safety of traders who have chosen to open their shops despite the ongoing strike.
The strike, which began on Monday in Dar es Salaam, is driven by traders’ protests against what they describe as “unfair” tax collection mechanisms imposed by the Tanzania Revenue Authority (TRA). Among the primary grievances are the implementation of new tax regulations, which traders claim are onerous and detrimental to their businesses.
Traders have expressed particular dissatisfaction with the Electronic Fiscal Device (EFD) system, which they argue imposes significant financial burdens. They are also calling for a review of the high Value-Added Tax (VAT) rate and other tax policies that they believe disproportionately affect small and medium-sized enterprises.
As the strike has spread to various regions, it has disrupted normal business activities and raised concerns about potential economic repercussions. The presence of police in these areas aims to prevent any escalation into violence. According to Mwanza’s Regional Police Commander, officers are tasked with maintaining order and protecting those who wish to continue their business operations.
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The strike has not been limited to Mwanza. In Dodoma, Mbeya, and Iringa, similar scenes of unrest and police patrols have been reported. The government, aware of the growing discontent, has called for calm and urged traders to participate in dialogue to address their grievances. Meetings have been proposed between government officials and traders’ representatives to find a mutually acceptable solution.
However, the traders remain steadfast in their demands. They insist that significant changes must be made to the current tax policies before they will consider halting the strike. The government’s proposals, which include possible revisions to the EFD system and discussions on VAT rates, have so far not been enough to end the protests.
In a press conference, the Minister of Trade and Industry emphasized the importance of dialogue and negotiation. The government is seeking to balance the need for tax revenue with the economic well-being of the trading community. The ongoing strike highlights the delicate nature of this balance and the challenges faced by both the government and businesses in navigating tax reforms.
The economic impact of the strike is becoming increasingly evident. With shops closed and business activities halted, the revenue losses are mounting. The longer the strike continues, the more significant the economic repercussions are likely to be. This situation underscores the urgent need for a resolution that addresses the concerns of traders while maintaining the integrity of the tax system.
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