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"content": "1. commercial trading in grains; 2. provision of commodity handling and grain related services; 3. procuring and marketing of high quality farm inputs; 4. provision of storage and grain maintenance services to clients; and, 5. provision of information on national and international grain trading. Mr. Temporary Speaker, Sir, the challenges faced by maize stakeholders are:- (i) post-harvest loses due to rotting and aflotoxin contamination; (ii) high cost of production, that is, high cost of fertilizers, seeds and land preparation; (iii)maize lethal necrotic disease; (iv)late or delayed payment to farmers by NCPB; and, (v) low productivity. Regarding the specific issues, that is, measures being taken to address the systemic challenges within NCPB, the national Government through a consultancy firm; Ernst and Young, has conducted a study on restructuring of NCPB to make it more efficient and responsive to farmers. The study proposes the separation of the social and commercial functions of the Board. The social functions which include the strategic maize reserve and the famine relief will be under the Department of Agriculture and the Directorate of Special Programmes respectfully while NCPB retains the commercial function. On the measures proposed to re-engineer and transform NCPB operations both as a supplier of last resort and a custodian of the country’s strategic grain reserves, in the structured set up, the following entities and their functions have been proposed. (a) Grain Regulatory Commission of Kenya – The overall role will be to ensure a competitive and efficient grain sector to protect investors maintain market integrity in a fair, orderly and vision manner and to facilitate grain production. (b) National Food Security Agency – This will be a strategic Government agency complete with its own governance and board of directors. The functions will include; formulation of food security policy, monitoring grain market prices, determination of optimal strategic grain reserves scope, assessment of food security along the strategic grain reserves supply chain, improvement of the rotation and management of the strategic grain reserves, strengthening policy linkages with county governments and other food security stakeholders. (c) Discussions are going on to establish the commodity exchange in order to decontrol the grain sector for the country to move forward in overcoming the problems facing farmers and millers and organize the market. (d) Transformation of NCPB to a Grain Corporation of Kenya. The key functions of this body will include management, operation, development and maintenance of grain handling and storage infrastructure. (e) Commercial trade in grain and farm inputs. Other commercial services such as use of weighbridges, grain drying and cleaning, quality control, aflatoxin testing and grading, pest The electronic version of the Senate Hansard Report is for information purposes only. A certified version of this Report can be obtained from the Hansard Editor, Senate."
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