This archive report was first published on 10 July 2020.
On July 10, 2020, a tussle began brewing between the Agriculture ministry and the Capital Markets Authority (CMA) over the regulation of coffee trading.
Agriculture Cabinet Secretary Peter Munya said it is his ministry's mandate, through the Crops Act, to extend the laws that would have ceased at the end of June, saying the CMA regulations did not involve all stakeholders.
He stated that they want a review of the Capital Markets (Coffee Exchange), Regulations 2020 and Crops (Coffee) General Regulations 2019 to end the confusion that has now left stakeholders in the coffee sector paralysed.
Mr. Munya signed a Kenya gazette on the extension of the trading licenses and a three-month extension of Nairobi Coffee Exchange (NCE) management committee.
He added that he will in the next three weeks present the repealed version of the regulations for public participation.
However, CMA had on Monday issued guidelines on coffee trading at the NCE after its Act failed to take effect on July 1 as it had planned, leading to confusion at the auction this week.
The Capital Markets (Coffee Exchange) Regulations 2020, which were gazetted in April, gave the authority the mandate to license the coffee exchange and brokers.
Marketers did not submit relevant trading data, citing confusion over the guidelines the CMA issued on Monday.
Kenya Coffee Producers Association called for the suspension of the CMA rules until all the structures and systems are in place, including amending the Crops Act 2013.
