GOVERNMENT SEEKS TO AMEND COOPERATIVES LAW

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THE Ministry of Agriculture is finalising a Bill of Amendments of the Cooperatives Development Act to make it more effective.

This was announced by Deputy Minister for Agriculture Hussein Bashe while responding to Martin Msuha (Mbiga Urban-CCM), who in his basic question wanted to know when the Act would be amended.

Mr Bashe said the government was aware of some challenges facing cooperatives, so it had started a procedure for amendments and everything was going on well.

He explained that the proposed amendments would cater for current needs and demand which would also include the change of leadership structure to cope with technological needs and make the cooperatives more competitive.

“The ministry is in its final stages before it tables the proposed amendments in Parliament to address shortcomings in the existing law,” he told the Parliament.

In his basic question, Mr Msuha wanted to know whether there were plans to amend the Cooperatives Societies Act, especially in the area of membership and give the state legal powers on cooperatives societies.

Responding, Mr Bashe said the government had the sole mandate over cooperative societies, especially when leaders or cooperatives did not meet the objectives.

“The government is aware that cooperative societies face some challenges of management and lack of integrity. As a result, there has been mismanagement of societies and unions in the country,” he noted.

However, he explained that there were some societies and unions which were in good shape and operated according to rules and guidelines.

He gave an example of Kahama Cooperative Union (KACU) as well as tea cooperative societies of Mkonge and Mafinga.

Mr Bashe noted that cooperative societies were ideal avenues for proper socioeconomic development and so their services were needed for the betterment of the country.

Moreover, the amendments to the cooperatives are meant to increase contribution to the national economic development and to strengthening their operations so that they become more competent and create awareness of their members on best practices and value addition.

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