The National Cereals and Produce Board (National Strategic Reserve) Regulations, Legal Notice no. 25 of 2023

N Al l ON A L COU N CI L FOR L A W REPORT IN G XJF-R A RYSPE C I A L TSSTJR Kenya Gazette Supplement No. 29 9 9 13th March, 2023 (Legislative Supplement No. 10) L eg a l N o t ic e N o . 25 THE NATIONAL CEREALS AND PRODUCE BOARD ACT, 1985 (Cap . 338; THE NATIONAL CEREALS AND PRODUCE BOARD (NATIONAL STRATEGIC RESERVE) REGULATIONS, 2023 A RR A N GEM EN T OF REGU L A T I ON S Regulation PA RT I - PREL IM IN A RY 1 . C i tat i o n . 2. Interpretation. 3. Purpose of these Regulations. PART II - NATIONAL STRATEGIC RESERVE 4 . Content of the Reser ve. 5 . B ase stock . 6 . Pri ce stabi l i sation of stock . PART II I - FOOD BA LANCE SHEET COM M ITTEE 7. Appointment of the Committee. 8. Membership of the Committee 9 Functions of the Comm ittee. 10. Operational expenses of the Committee SCH ED U L E —Conduct of A f f airs of the Comm ittee Kenya Subsidiary Legislation, 2023100 THE NATIONAL CEREAL S AND PRODUCE BOARD ACT , 1985 (Cap . 338J IN EXERCISE of the powers conferred by section 30 of t h e National Cereals and Produce Board Act , 1985 the Cabinet Secretary for Agriculture and Livestock Development makes the following Regulations— THE NATIONAL CEREAL S AND PRODUCE BOARD (NATIONAL STRATEGIC RESERVE) REGULATIONS, 2023 PA RT I - PREL I M IN A RY I . These Regulations may be cited as the National Cereals and Citation Produce Board (National Strategic Reserve) Regulations, 20 2 3 . 2. In this Regulations unless the context otherwise requires. “ base stock” means the stock of the Reserve the quantity o f which is determined in accordance with regulation 6; “ Comm ittee” means the Food B alance Sheet Com m ittee establ ished under regulation 9; “digital food balance sheet” means a tool for monitoring an d evaluating national food patterns to inform food security pol icy interventions; Interpretation “ food-insecure population” means the number of people i n t he country who are not able to meet their daily food needs f o r an ex ten ded period of time due to social , natural or economic conditions; “maize consumption equivalent” means the fi nancial v al u e o f food commodities which is equated to the fi nancial value of m aize, “pnce stabilisation” means the sale and purchase of sch ed u l ed agricultural produce from and into the Reserve; “ Reserve” has the national strategic reserve maintained u nd er section 13 of the A ct ; “scheduled agricultural produce” has the meaning assigned t o i t i n section 2 of the A ct ; and “ warehouse receipt system” has the meaning assigned t o i t un d er section 2 of the Warehouse Receipt System Act, 2019. 3. The purpose of these Regulations shall be the management Purpose o f t he R eser v e . N o . 8 o f 20 19 PA R T I I - N A T I O N A L ST R A T E G I C R E SE R V E 4. ( I ) The Reserve shal l consist of — (a) base stock and the monetary equivalent thereof ; and (b) stock that has undergone pnce stabil isation (2) The quantity of the stock referred to in sub-regulation ( 1) shal l be determined by the Committee based on the prevail ing m ar k et demand and supply conditions as communicated to the B o ar d . C ontent of the R eserv e Kenya Subsidiary Legislation, 2023 10 1 5. (1) The quantity of base stock shall be the greater of ninety thousand metric tons; or three-months’ national food requirement of , scheduled agricultural produce. (2) Base stock shall be held in form of warehouse receipts. B ase sto ck 6. (1) The quantity of the three-months’ national food Pn ce stab i l i sat io n of stockrequirement of scheduled agricultural produce in regulation 5(1) shal l b e (a) calculated based on maize consumption equivalent, and (b) determined by the conduct of price stabilisation. PART I l l - FOOD BALANCE SHEET COM M ITTEE 7. (1) Pursuant to section 6 of the Act, there shall be a Food Appointment of the C om m i tteeBalance Sheet Committee which shall be a committee o f t he B o ar d . (2) The conduct of the affairs of the Committee shal l be as set ou t i n the F i rst Schedule. (3) Except as provided m the First Schedule, the Committee m ay regulate its own procedure. 8 . The Committee shall consist of the following members Membership of the C om m i tteeappointed by the Board— (a) a chairperson who shall possess a degree from a Universi ty recognized in Kenya and at least ten years’ experience m matters related to food security; (b) the Principal Secretary of the state department responsible for crop development or a person nominated by the Principal Secretary in writing; (c) the Principal Secretary of the state department responsible for livestock production or a person nominated by the Principal Secretary in writing; (d) the Principal Secretary of the state department responsible for fisheries or a person nominated by the Principal Secretary m w ri t ing ; (e) the chairperson of the Council of County Governors o r a person nominated by the Council ; (f) the chairperson of the Board of Directors of the Kenya National Bureau of Statistics or a person nominated by the Board m wri ting; (g) the Principal Secretary of the state department responsible for internal trade or a person nominated by the Principal Secretary in writing; (h) the Principal Secretary responsible for the Kenya Meteorological Department or a person nominated by t he Principal Secretary in writing; (i ) the chairperson of the Board of Directors of the Agriculture Sector Network or a person nominated by the Board in writing; and Kenya Subsidiary Legislation, 2023102 (j ) the Managing Director of the Board who shall be t he secretary of the Committee. 9. (1) The functions of the Committee shall be to— (a) generate, analyse and submit the information required t o determine the quantities referred to under regulation 5 (2) and 6 (3) ; (b) advise the Board on the supply, utilisation, distribution and intervention measures to improve availability and affordability of scheduled agricultural produce; (c) manage the digital food balance sheet; (d) collect data and undertake market intelligence and price monitoring of scheduled agricultural produce; and (e) advise the Board on price stabilisation of scheduled agricultural produce. (2) In advising on price stabilisation, the Committee sh al l consider the following parameters— (a) consumer purchasing power , (b) cost of production of scheduled agricultural produce; (c) international price fluctuations; (d) seasonal price movements; (e) changes in the exchange rates; and (f) market forces. (3) The Committee may recommend that scheduled agricultural produce for price stabilisation be drawn into and out o f t he R eser v e i n accordance with regulation 5 (2) . (4) The Board shall notify the Committee when the physical stock of the Reserve reduces to the level of base stock . (5) The Committee shall , on its own motion or on the n o t i ce issued under sub-regulation (4), advise on replenishment o f th e R eser v e . F uncti ons o f the C om m i t tee (6) The Committee shall submit reports to the Board o n th e functions outlined m sub-regulation (1). 10. The operational expenses of the Committee shall be paid in Operational expenses of the C om m i t teethe manner specified in section 11 of the Act. Kenya Subsidiary Legislation, 2023 10 3 (r . 7(2))SC H E D U L E C O N D U C T O F A F F A I R S O F T H E C O M M I T T E E 1. ( 1) The Committee shall meet at least once a month and n o t M eetings more than thirty days shal l elapse between the date of one meeting and the date of the next meeting. (2) On requisition in writing by at least six members, t he chairperson may convene a meeting of the Committee at any time. (3) Unless three-quarters of the members of the Committee otherwise agree, at least fourteen days’ wri tten notice of every meeting of the Committee shal l be given to every member of th e C o m m i t tee . (4) The chairperson shall preside at every meeting o f t he Committee but in the absence of the chairperson, the members present shal l elect one of themselves, who shall perform the f u n c t io n o f th e chairperson at that meeting. (5) Unless a unanimous decision is reached, a decision o n an y matter before the Committee shal l be by a maj ori ty of votes and , in the case of an equality of votes, the chairperson shall have a casting vote. 2. (1) The quorum for the conduct a meeting of the C o m m i t tee Quorum shal l be six members and shall include the chairperson. (2) Despite sub-paragraph (1), no proceedings of the C o m m i t tee shal l be invalid by reason only of a vacancy among t he m em b er s thereo f . 3. (1) If a member is directly or indirectly interested in any matter , before the Committee and is present at a meeting o f t he Committee at which the matter is the subj ect of consideration, t h at member shal l , at the meeting and as soon as practicable af ter t he commencement of the meeting, disclose the interest m the m at ter and shal l not take part m the consideration of or vote on the matter , or be counted in the quorum of the meeting during consideration o f t h e m a t t e r : C onf l i ct o f i n te r e s t Provided that, if the majority of the members present d eem th at the experience or expertise of the member is vital to th e d el i b er at i o n s o f the matter , the Committee may permit the member to participate in the deliberations subj ect to such restrictions as the Committee m ay i m po se b u t th e m em b er sh al l no t v o te o n th e m at ter . (2) A disclosure of interest made under this paragraph sh al l b e recorded in the minutes of the meeting at which it i s m ade . (3) A member of the Committee who contravenes sub-paragraph (1) commits an offence and is l iable, on conviction, t o a f i ne n o t exceeding twenty thousand shillings or to imprisonment f o r a t er m no t exceeding one year , or to both. 4 . T he Comm ittee shal l cause m inutes and resolutions o f al l M inutes meetings of the Committee to be entered in books kept for that purpose. M ade on the 22nd February , 2023. M IT H I K A L I N T U RI , Cabinet Secretary , Agriculture and Livestock Development. PRINTED AND PUBLISHED BY THE GOVERNMENT PRINTER, NA IROBI I I