Abstract:
This study advocates how SMEs in Tanzania can be empowered to effectively make use of the available public procurement opportunities. Specifically it determines the participation of SMEs in public procurement opportunities, stumble on the benefits of public procurement opportunities to SMEs, and examine the challenges facing SMEs’ access to such opportunities. The study adopted case study design where 50 SMEs operating in Mwanza Municipal were surveyed using a structured questionnaire with 5-point Likert scale. It divulge that SMEs participating in public opportunities benefit in terms of amplifying their production capacity and marketing of goods and services, cash flows , innovation and creativity thus boost their contribution to the national economy. It also makes out that institutional support, limited access to finance, unsupportive legal framework, bureaucratic nature of the procurement cycle and corruption among public officials are challenges facing SMEs participation in public procurement. It recommends a review of policies related to SMEs ties with public sector, training on public procurement procedures, fair provision of public procurement opportunities, elimination of cumbersome, bureaucratic and costly procedures attached to public procurement along with emphasis on effective use of public private partnerships.
