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"id": 831058,
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"type": "speech",
"speaker_name": "Westlands, ODM",
"speaker_title": "Hon. Tim Wanyonyi",
"speaker": {
"id": 3036,
"legal_name": "Timothy Wanyonyi Wetangula",
"slug": "timothy-wanyonyi-wetangula"
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"content": " Thank you Hon. Speaker for giving me this opportunity to contribute to this Bill. The agriculture sector in Kenya is dominated by small-scale farmers. Records show that those small-scale farmers contributed 32.6 per cent of the Gross Domestic Product (GDP) in 2016. Kenya has, in recent years, experienced a food deficit resulting from low production and post-harvest losses. A majority of that is caused by poor storage. This leads to huge income losses by small-scale farmers and higher prices. This Bill is going to address some of those vices to reduce the wastage and also improve the storage. The warehouse receipt documents that provide proof of ownership of commodities stored in warehouses will allow farmers to avoid selling after harvest when the prices are depressed. It will enable them deposit their commodities in certified warehouses which issue them with receipts that serve as documents of title. This can in turn be used as security for short term credit and help them mobilise funds. The Bill proposes a mechanism for certification of warehouses and sets a regulatory institutional framework. It stipulates standards for warehouse receipts and establishes a central registry system where users confirm the validity of receipts issued. This same Bill provides for negotiation and transfer of receipts - this being negotiation by endorsement. When this Bill is enacted and implemented well, this proposed law has the potential to create a stable warehousing receipt system in Kenya. This will include allowing the NCPB to avail their excess storage capacity to farmers and other grain sectors. This Bill is very important and I believe that its passage will lead to good legislation. It is going to address various gaps in our food security. We have seen farmers crying. They are doing so even at the moment because NCPB is unable to accommodate them. Also, there is a glaring gap in addressing ownership. Some farmers end up losing their commodities because they cannot The electronic version of the Official Hansard Report is for information purposes only. Acertified version of this Report can be obtained from the Hansard Editor."
}