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{
    "id": 1590503,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1590503/?format=api",
    "text_counter": 433,
    "type": "speech",
    "speaker_name": "Molo, UDA",
    "speaker_title": "Hon. Kuria Kimani",
    "speaker": null,
    "content": " Thank you very much, Hon. Temporary Speaker. I thank Members who have contributed to this discussion. I would like to respond to two particular matters: The first one was raised by Hon. Oundo. Clause 26 amending paragraph 53 of the First Schedule of the Income Tax Act says that: Provided that this exemption shall only apply to payment of gratuity or other allowance paid in public schemes. We are deleting that particular paragraph and replacing it with the words “only gratuity.” It means the gratuity will include even the ones that are not in public pension schemes, and not only those in public schemes. Secondly, there would be amendments at the Committee of the whole House on tea packaging. For a very long time, coffee and tea farmers have been getting very low returns for one reason. There has never been a good framework to allow value addition to our tea and coffee. We have the best tea in the country. It is harvested, put in a sack and taken to Dubai or Sri Lanka for value addition. It then comes back to this country at almost a thousand times more than the initial cost. We are proposing a range of exemptions on packaging materials for tea so that it is exported in good packaging for better value. That way, farmers will get good returns. It is quite unfortunate that farmers have spent many years growing and maintaining tea, yet they earn the least, while brokers and middlemen, who simply export and re-import, make significant profits. In addition, I have mixed feelings about some of the recent amendments to the East African Community Tariffs. One of the recommendations we should include in the National Tax Policy – and which The National Treasury should adhere to – is that all stays, and applications for stays of customs duty, be brought before this House for public participation and approval. One positive development is the introduction of a duty on imported tea. This will make our local tea more competitive in the market. However, some of the newly introduced rates may negatively impact our local industries. It is therefore, important that we provide oversight and ensure that these Common External Tariff (CET) rates are presented to this House for approval and subjected to public participation. Furthermore, I wish to correct a misconception raised by my good friend, Hon. Oundo. Last year, we conducted extensive public participation, and he knows for a fact that the report we tabled in this House was thorough and well-received. The same proposals contained in that report were adopted in the four laws that were passed. In essence, the content of the Finance Bill aligned with our final report. It is, therefore, important to clarify and state the facts as they are. I wish to thank all Members who contributed to the debate on this Bill. I look forward to engaging further during the Committee of the whole House tomorrow, where we shall consider the proposed amendments. Thank you."
}