Kuwait promotes local agricultural products in cooperative societies
KUWAIT CITY, Feb 11: Dr. Amthal Al-Huwailah, the Minister of Social Affairs, Family, and Childhood Affairs, has issued a new ministerial decision to promote local agricultural products in cooperative societies. This initiative is part of the government’s efforts to enhance local production, achieve food security, and support Kuwaiti farmers, in line with the Cabinet’s recommendations.
The ministry stated on Monday that the decision mandates cooperative societies to purchase at least 75 percent of their agricultural products from local sources. These purchases must be made directly through participation in daily auctions at approved marketing outlets, with computerized invoices to ensure transparency and improve the efficiency of buying and selling.
The decision also requires cooperative societies to appoint a staff representative to attend the daily auctions. Kuwaiti nationals are prioritized for these roles to support local labor in the agricultural sector.
To further promote local produce, cooperative societies must allocate 30 percent of the central market space to display local agricultural products, benefiting the Farmers Union. This move will enhance the visibility of local products and ensure they are consistently available to consumers.
Additionally, the decision requires that clear price lists be displayed for all local agricultural products, promoting transparency between consumers and farmers. To support local products, the decision allows cooperative societies to absorb up to 5 percent of the total value of daily purchases of local goods within a week to cover potential losses. Designated personnel are responsible for managing this process.
A profit margin of no more than 20 percent will be applied to local agricultural products to ensure fair pricing. Furthermore, local products will be exempt from the usual conditions and restrictions placed on other items, facilitating their marketing and increasing opportunities for farmers to sell their goods.
The administrative supervisor of each cooperative society will review daily purchase invoices to ensure compliance with the new rules. Monthly reports detailing any violations and measures taken to address non-compliance will be submitted to the relevant department in the Ministry of Social Affairs.
A joint committee, comprising representatives from the Ministry of Social Affairs, the Ministry of Commerce and Industry, the Public Authority for Agriculture and Fish Resources, and the Union of Cooperative Societies, will be formed to monitor the implementation of the decision. This committee will submit monthly reports on compliance and assess the decision’s impact, offering recommendations for any necessary adjustments.
The new decision also cancels Ministerial Resolution No. (115) of 2022, which supported the promotion of local agricultural products in cooperative societies. The new decision takes effect immediately upon publication in the Official Gazette, and all concerned parties are required to comply.
This decision is part of the government’s ongoing efforts to ensure sustainability in the agricultural sector, stimulate the local economy, and enhance the contribution of national products to cooperative markets, contributing to greater self-sufficiency and food security.