Company Setup

The Cap. 46 Industrial Licence: Who Must Register a Factory

Cover: The Cap. 46 industrial licence — National Industries Act and OSHA Cap. 297
Headcount decides whether the Act bites; investment cost decides which document the Registrar issues. Caption date: 21 September 2026. A cover is not a filing.
Direct answer

Which factories must register under Cap. 46? Those employing ten or more workers on any day — the statutory definition of an industry, so a workshop that never reaches ten sits outside the Act. Above the line, fixed investment cost picks the document: not more than TZS 100 million takes a certificate of registration, above it an industrial licence, both issued through BRELA. The factory is separately registered as a workplace with OSHA under Cap. 297 before it operates. Micro and small industries are closed to non-citizens by GN No. 487A of 2025, item 15. Preparation to lodging runs seven to ten working days.

This page is the industrial registration operating file: which factories Cap. 46 reaches, which document the investment figure produces, and who may hold it.

As at 21 September 2026. Confirm the live position on brela.go.tz and osha.go.tz; this file rests on Cap. 46 and its 2000 Regulations, Cap. 297 with GN No. 149 of 2015, Cap. 191, Cap. 130 and GN No. 487A.

Ten workers on any day, and nothing else

Section 2 of the National Industries (Licensing and Registration) Act, No. 10 of 1967, defines an industry as any factory in which ten or more workers are employed on any day. Not ten on average, not ten at year end. A line running six people most of the year and twenty through a packing season is an industry on those days.

Section 6 carries the prohibition: no person shall establish any industry unless a certificate of registration has been obtained for it. It bites at establishment, not at first production, and factory reaches any building or place, and any plant in or on it, intended for manufacture.

Worker is drawn to match — a person employed by the owner, whether duties are performed at the factory or outside it. A driver and an outworker count toward ten, and an inspector rebuilds the count from the payroll.

Below ten workers, and still not unregulated

A workshop that never employs ten on any day owes no Cap. 46 certificate. It owes everything else: Cap. 297 reaches a workplace rather than an industry and has no headcount floor, the business licence binds on the trading activity, environmental screening on the site, the Bureau of Standards on the product. Cap. 46 falls away; four files do not, and the heaviest penalty here sits among them.

Certificate or licence, and what BRELA charges

Above the line the Act produces two different documents, and the National Industries Regulations, 2000 decide which. Regulation 8: a project with a fixed investment cost not exceeding one hundred million shillings takes a certificate of registration, and one exceeding that figure takes an industrial licence. The measure is fixed investment cost — not turnover, not paid-up capital, not the value of land already held.

Applications go to the Industrial Licensing Board under section 10; the Registrar of Industries, appointed under section 3, keeps the register; BRELA runs both through its Online Registration System. The published fee follows project cost in five bands: TZS 10,000 to TZS 5,000,000; TZS 50,000 to TZS 10,000,000; TZS 100,000 to TZS 50,000,000; TZS 500,000 to TZS 100,000,000; and TZS 800,000 above that. The last step is TZS 300,000, and it lands on exactly the shilling where regulation 8 changes the document.

The documents have different lives. A temporary industrial licence runs three years; a permanent one has no expiry; a certificate of registration does not lapse but stops being correct once the plant outgrows the band. An unimplemented project may be cancelled after three years.

Item 15, and the band reserved for citizens

GN No. 487A of 2025, published on 28 July 2025 under the Business Licensing Act, Cap. 101, closes fifteen activities to non-citizens. Item 15 is the ownership and operation of micro and small industries — not manufacturing as a whole, but the size band.

The Order does not define micro and small. The Ministry of Industry and Trade's Small and Medium Enterprise Development Policy classifies: micro, one to four employees and capital in machinery to TZS 5 million; small, five to forty-nine and to TZS 200 million; medium, fifty to ninety-nine and to TZS 800 million; large, one hundred or more above that. Where an enterprise straddles two, capital governs.

Read against Cap. 46 that leaves a narrow band: an industry employing ten to forty-nine workers is inside the Act and inside item 15 at once. It must register, and a non-citizen may not own it. Foreign shareholding first opens at medium — the size that takes the licence rather than the certificate.

Non-citizens holding valid licences run to expiry; renewal is refused. Carrying on a prohibited activity draws not less than TZS 10 million or six months' imprisonment and cancellation of the residence permit; a citizen fronting for one faces TZS 5 million. A nominee here is the named offence.

Six documents, one factory, and what each governs

DocumentInstrumentWho decidesWhat it governsUsual error
Certificate of registration or industrial licenceCap. 46; Regulations, 2000Registrar of Industries and the BoardThat the manufacture may be carried onReading incorporation as the licence
Business licence, Class ACap. 101BRELA; Class B with the local authorityTrading the outputAssuming Cap. 46 licenses selling
Workplace registration and compliance licenceCap. 297, ss. 16–17; GN No. 149 of 2015Chief Inspector, OSHAThe premises and the people in themRegistering once the line runs
Factory drawings approvalCap. 297, s. 21Chief Inspector, OSHALayout, electrical, sewage, exits, fireSubmitting after the roof is on
EIA certificate or project registrationCap. 191; GN No. 349 of 2005NEMC reviews; the Minister signsWhether the plant may stand therePouring concrete while screening is open
Product certification and standards markCap. 130; GN No. 683 of 2021; fees GN No. 496L of 2021Tanzania Bureau of StandardsThe goods leaving the gateConfusing premises with product certification

The OSHA file is a second registration, not a copy

Section 16(1) of the Occupational Health and Safety Act requires the owner or occupier of a factory or workplace to register before operating. Section 17 separates two things most files merge: the certificate of registration, issued by the Chief Inspector once satisfied the premises are suitable, and the compliance licence, issued annually. One happens once, the other every year.

Section 21 sits earlier: a person constructing a factory submits drawings showing layout, electrical installations, sewage, exits, fire protection and sanitation, and the Chief Inspector approves or refuses with grounds.

GN No. 149 of 2015 carries the mechanics: application on OSHA Form 1(b) for a factory, within seven days of paying the fee in the First Schedule. Manufacturing registration is TZS 80,000 micro, TZS 240,000 small, TZS 480,000 medium and TZS 720,000 large, with general inspection charged annually at 80% of that figure. Section 17(5) carries the sharpest penalty here: not less than TZS 1,000,000 and not more than TZS 5,000,000, or twelve months' imprisonment, with a daily fine while default continues.

NEMC decides before the slab is poured

The Environmental Management Act, Cap. 191, and the Environmental Impact Assessment and Audit Regulations, GN No. 349 of 2005, sort projects by type: a mandatory full assessment, a borderline class screened to decide whether one is needed, a third registered without one, and a special category.

Manufacturing is spread across them by process, not by value. Tanneries, pulp and paper, textile mills, sugar, iron and steel, pharmaceutical and fertiliser plants take the full assessment; stand-alone knitting units, small abattoirs and tobacco processing are only registered. Two identical-cost plants on identical plots can take different routes, and the process description decides it.

The clocks are statutory: the Council reviews within sixty days of the environmental impact statement, and the Minister approves or disapproves within thirty days under section 92(1). Ninety days is not a queue to join after the machinery is ordered.

TBS holds the product; TMDA kept three categories

The Tanzania Food, Drugs and Cosmetics Act, Cap. 219, was amended by the Finance Act 2019, and from 1 July 2019 food and cosmetics — registration, premises inspection, permits and surveillance — moved to the Tanzania Bureau of Standards. TMDA kept medicines, medical devices and diagnostics, so older checklists misroute a cosmetics plant.

The Bureau's instrument is the Standards (Registration of Premises and Certification of Products) Regulations, GN No. 683 of 2021, with fees under GN No. 496L of 2021. Regulation 3(1) prohibits applying a standards mark except by the holder of a licence granted under the standards framed by the Bureau; regulation 5(2) makes registration of a food product and its manufacturing premises an integral part of product certification — one file, not two. A licence runs not more than twelve months.

None of this is the investment side. Incentives sit with TISEZA, formed in 2025 from the former investment centre and the export processing zones authority; a Cap. 46 document permits manufacture and relieves no tax.

The sequence the desks take

  1. Count the workers and read the band before a lease is signed. Ten on any day brings Cap. 46 in; micro or small closes the shareholding to citizens.
  2. Fix the fixed investment cost. It picks the document, the fee band and the size classification OSHA and the reserved list read.
  3. Incorporate at BRELA and take the tax numbers, with beneficial ownership stated as it truly is.
  4. Lodge the environmental screening before civil works, and submit the factory drawings under section 21 while they are drawings.
  5. Apply to BRELA for the Cap. 46 document, with the business plan and the site evidence.
  6. Register the workplace with OSHA before operating, then take the Class A business licence for the trading side.
  7. Clear the product with TBS — or TMDA, for a medicine, device or diagnostic — before the first consignment.
  8. Diarise what recurs: the annual compliance licence, the inspection fee at 80%, the standards licence.

Two costings to first production

Take a plant with a fixed investment cost of TZS 80,000,000. Not exceeding one hundred million, regulation 8 gives it a certificate of registration and BRELA's fourth band charges TZS 500,000. At that capital it is small: OSHA registration TZS 240,000, annual inspection TZS 192,000, first-year outlay TZS 932,000. Being small, it is inside item 15, and a non-citizen may not own it.

Cost the same plant at TZS 450,000,000 and it exceeds one hundred million: the document is an industrial licence at TZS 800,000, and at that capital it is medium — OSHA registration TZS 480,000, annual inspection TZS 384,000, first-year outlay TZS 1,664,000.

The gap is TZS 732,000, and what it buys is not paperwork: the medium plant sits outside item 15, so a non-citizen may hold it. Illustrative arithmetic on published schedules; fees move.

Mandate-holders this file does not replace

The Registrar of Industries and the Industrial Licensing Board own the Cap. 46 decision through BRELA, which also holds incorporation and the Class A licence. OSHA's Chief Inspector owns the drawings approval, the workplace registration and the annual compliance licence. NEMC reviews the environmental file and the Minister signs the certificate. The Bureau of Standards owns the product and, since 1 July 2019, food and cosmetics; TMDA owns medicines, devices and diagnostics; local authorities own Class B licences; TISEZA owns incentives that no industrial licence confers. Zatra prepares and coordinates the file; it grants no licence and does not practise law.

Frequently asked questions

Does a factory employing eight people need a Cap. 46 certificate?

No. An industry is a factory in which ten or more workers are employed on any day, so a plant that never reaches ten falls outside the Act. OSHA registration still applies: Cap. 297 has no headcount floor.

Is the certificate of incorporation the industrial licence?

No. Incorporation creates the company; the Cap. 46 certificate or industrial licence permits the manufacture. Both are handled at BRELA, which is why they merge into one file, but they issue under different statutes.

Can a foreigner own a small factory in Tanzania?

No. GN No. 487A of 2025, item 15, closes micro and small industries to non-citizens. Small runs to forty-nine employees or TZS 200 million of capital in machinery. Medium and large remain open; existing licences run to expiry.

What decides a certificate of registration against an industrial licence?

Fixed investment cost, under regulation 8 of the National Industries Regulations, 2000. Not exceeding one hundred million shillings gives a certificate of registration; exceeding it gives an industrial licence. BRELA's fee steps at the same figure.

Does an industrial licence replace the business licence?

No. The Cap. 46 document authorises the manufacture; the business licence under Cap. 101 authorises the trading, Class A through BRELA and Class B through the local authority. A plant that makes and sells needs both.

Does TMDA still register food and cosmetics?

No. Cap. 219 was amended by the Finance Act 2019, and from 1 July 2019 food and cosmetics moved to the Tanzania Bureau of Standards, with premises inspection and permits. TMDA regulates medicines, devices and diagnostics only.

Sources & regulators

Verify before filing: Rates, forms and thresholds move by Finance Act, Government Notice and portal revision. Confirm the live schedule on the mandate-holder portal before you budget or submit. Law-firm alerts and Big Four notes are discovery only.

  • BRELA — the Cap. 46 certificate of registration and industrial licence, the Registrar of Industries, the published fee bands, licence validity and the Class A business licence. Accessed 2026-09-22.
  • Occupational Safety and Health Authority — workplace registration and the compliance licence under Cap. 297, the drawings approval under section 21, and the registration and inspection fees in GN No. 149 of 2015. Accessed 2026-09-22.
  • National Environment Management Council — the Environmental Impact Assessment and Audit Regulations, GN No. 349 of 2005, project classification, and the sixty- and thirty-day review clocks under Cap. 191. Accessed 2026-09-22.
  • Tanzania Bureau of Standards — GN No. 683 of 2021 on registration of premises and certification of products, the standards mark, and fees under GN No. 496L of 2021 made under Cap. 130. Accessed 2026-09-22.
  • Tanzania Medicines and Medical Devices Authority — the transfer of food and cosmetics to TBS from 1 July 2019 under Cap. 219 as amended by the Finance Act 2019, and TMDA's remaining mandate. Accessed 2026-09-22.
  • Ministry of Industry and Trade — the Small and Medium Enterprise Development Policy classification of micro, small, medium and large enterprises by employees and capital investment in machinery. Accessed 2026-09-22.
  • TanzLII — the text of the National Industries (Licensing and Registration) Act, Cap. 46, the Occupational Health and Safety Act, Cap. 297, and GN No. 349 of 2005 and GN No. 496L of 2021. Accessed 2026-09-22.
  • Tanzania National Business Portal — the Business Licensing Act, Cap. 101, and the split between Class A licences issued through BRELA and Class B licences issued by local government authorities. Accessed 2026-09-22.

Brief the desk

This Insights page is orientation. Business licence and sector permits is the commercial desk for the same facts. Zatra’s fee stays on its own line, separate from government, bank and regulator charges. Approvals are not guaranteed.

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Disclaimer

This article is informational orientation. It is not legal, tax or investment advice and not a government decision. Tanzanian instruments move by Act, Government Notice, Finance Act and portal revision. If a sentence here disagrees with the live mandate-holder, the mandate-holder wins. Zatra Consultants Limited does not issue licences, permits, tax clearances or approvals, and gives no assurance of any regulatory or banking outcome. Professional fees are published only on /pricing/.

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