Abstract
Women in Malawi have been at the forefront of cross border trade both as a source of income and employment though they face numerous challenges. The paper investigates the challenges that the cross-border women face in the case of Limbe ICBT. A sample size of 30 participants was targeted that included 28 women cross-border traders, taxation authorities and Indigenous Business Association of Malawi (IBAM) officials. This data was analyzed using descriptive statistics. In total 24 valid questionnaires were collected of the 30 participants. Challenges identified were lack of adequate funds to support businesses, high taxes, transportation costs, corruption by taxation-authorities officials, competition from big companies, unstable exchange rate and unstable prices from the market. The study revealed the relationship that exists between taxation authorities, women ICBT and IBAM though the relationship is not as strong as expected. It was established that none of the ICBT women were aware of the existence of regional protocols and none seem to be knowledgeable about cross- border rules, regulations and other protocols when it comes to clearance of goods and services. Most of the ICBT do not know how the calculations of import duties and how other charges occur. They have no knowledge of how they are charged at the border. One of contributing factors is their level of education which is very low leading to poor understanding of rules, regulations and import protocols. It is recommended that taxation authorities should embark on providing comprehensive training to these women if they are to maximize the duty collection. Key words: Women traders, small and medium-sized enterprises, Informal Cross Border Traders (ICBT), SADC.
Highlights
The government of Malawi recognizes the contribution made by micro, small and medium enterprises in stimulating competition, providing employment and distributing wealth
Malawi Revenue Authority (MRA) officials stated that women account for 80% of the people crossing the Mwanza In-land Border Post with Mozambique being the busiest and highest-volume land post in the country
The study indicates that women cross-border Small and medium enterprises (SMEs) face many challenges on border posts due to overcharge on customs duty which affects their small businesses
Summary
The government of Malawi recognizes the contribution made by micro, small and medium enterprises in stimulating competition, providing employment and distributing wealth. Most of the SME‟s are run by cross border women. Little achievement has been made by these women; as such there is a need to develop the policy that aims at supporting cross border women in Malawi. Small and medium enterprises (SMEs) are businesses whose personnel numbers fall below certain limits. The abbreviation "SME‟s is used in international organizations such as the World Bank, and the World Trade Organization (WTO).
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