The government is considering to handover Nairobi Coffee Exchange (NCE) operations to Capital Markets Authority (CMA).
According to Simon Chelugui, the Cooperative Cabinet Secretary, the NCE’s new reforms will increase the number of board seats allocated to farmers.
The government is concerned that the presence of a majority of marketers on the auction board has made the auction vulnerable to price fixing.
Additionally, the government aims to increase farmers’ representation on the Nairobi Coffee Auction board.
Meanwhile, CMA will maintain its responsibility of licensing marketers and traders at the NCE, which was previously carried out by the agriculture and food authority.
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