This archive report was first published on 16 August 2019.
On August 16, 2019, the National Cereals and Produce Board (NCPB) faced scrutiny over its handling of a Sh842 million budget allocated for the purchase of gunny bags. The board spent only Sh401 million on the procurement, leaving a balance of Sh440 million unaccounted for.
According to documents tabled before the National Assembly's Public Accounts Committee (PAC), the ministry could not explain how the board identified suppliers in the purchase, with no documentary evidence available to show how the procurement was conducted.
Greenland Suppliers was awarded a contract to supply 2.7 million jute bags, while Rai Plywoods, Textplast Industries, and Trans Global Distributors were contracted to supply 525,000 plypropylene bags. The ministry came under criticism for awarding some of the supplies to foreign companies.
Busia Women Representative Florence Mutua questioned the tender worth Sh386 million being handed to a local firm for bags that can be locally sourced. Principal Secretary Hamadi Boga defended the procurement, stating that jute bags were procured through an open tender, making it open to both local and foreign firms.
Audit reports revealed discrepancies in the procurement process, with the ministry unable to explain the difference in prices paid to suppliers. The Auditor General's 2016/17 report flagged the purchase as irregular, raising concerns about how suppliers were identified.