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{
    "id": 317374,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/317374/?format=api",
    "text_counter": 144,
    "type": "speech",
    "speaker_name": "Mr. Godhana",
    "speaker_title": "The Assistant Minister for Livestock Development",
    "speaker": {
        "id": 23,
        "legal_name": "Dhadho Gaddae Godhana",
        "slug": "dhadho-godhana"
    },
    "content": "(a) I am not aware that there is any deliberate falsification of prices and classification of raw hides as rejects so as to attract less duty when exported. This is because:- (i) My Ministry does not step prices for the raw hides and skins. The function of pricing of the commodity both locally and internationally is governed by the market forces. (ii) My Ministry has qualified officers who ensure that all hides, skins and leather for export are graded, while the loading and sealing of the containers is undertaken by the Kenya Revenue Authority. In order to ensure total compliance, my Ministry has an officer at the Inland Container Depot (ICD) in Nairobi to verify all the documents for hides, skins and leader exports. This ensures that the grades stated in the verification documents are correct. (iii) I would also like to clarify that the production of hides at the slaughter point is based on technical grades rating from I to IV. This classification ranges from best at Grade I to poor at Grade IV. The handling of hides thereafter normally affects the quality of the hides, such that at the point of sale, a hide may have become rotten or perforated during removal of remnant meat from the hide, thus downgrading it to a reject at commercial level. According to the Hides, Skins and Leather Trade Act, Cap.359, the Inspector for Hides and Skins is mandated to decide whether the reject hides and skins can be offered for sale locally or exported. It is worth noting that earnings from the leather industry have grown tremendously for the last three years rising from Kshs2.4 billion in 2009/2010 to Kshs7.1 billion in 2011/2012 as indicated in the table that I have shown, which the Member has a copy. (b) The table below shows the production of raw hides undertaken in the country between June, 2011 to July, 2012 and the corresponding exports over the same period. The table is attached to the reply that I have given to the Member. It shows the province, how many hides and skins of Grade I to Grade IV have been exported and the total per province. It brings down the grand totals per grade and gives the overall for all the grades. I have given a breakdown of monthly production per province in the same grades. (c) The Ministry does not operate under Cap.446, but rather under Cap.359 of the Hides, Skins and Leather Trade Act and has no provision of transferring any function under Cap.359 from the Director of Veterinary Services to any institution. My Ministry, through the Department of Veterinary Services, has the mandate vide Cap.359, sections 15 and 20 paragraph (f) to undertake sanitary certification for export of hides, skins and leather. The function of duty verification, which I am being asked to transfer is the mandate of the Kenya KRA which I have no authority to transfer."
}