CHAPTER 201
TANZANIA COTTON LINT AND SEED BOARD ACT

[SUBSIDIARY LEGISLATION]

INDEX TO SUBSIDIARY LEGISLATION

   REGULATIONS

      The Cotton Regulations

REGULATIONS

THE COTTON REGULATIONS

G.N. No. 471 of 2000

1.   Citation

   These Regulations may be cited as the Cotton Regulations.

PART I
COTTON CULTIVATION (regs 2-11)

(a) Planting of Cotton (regs 2-8)

2.   Cotton seeds for planting

   (1) All farmers except those in the cotton quarantine areas are free and encouraged to grow cotton provided they use cotton seeds supplied to them in pursuance to the provisions of these Regulations.

   (2) Any person who contravenes the provisions of these Regulations commits an offence.

3.   Restriction on importation of cotton seed

   (1) No person shall import cotton seed into the country, breed or multiply without a permit in writing issued by the Director in consultation with the Board.

   (2) Any person who contravenes this regulation shall be guilty of an offence and shall on conviction be liable to a fine not less than three hundred thousand shillings or imprisonment for a period not lower than three years or to both such fine and imprisonment and such seeds or plants shall be destroyed by the Board on behalf of the Director at the cost of the defendant.

4.   Seed multiplication

   The Board shall enter into contracts with seed companies for multiplication of foundation and certified cotton seed for planting.

5.   Reservation of cotton seed

   (1) For the purposed of regulation 2, the Board shall cause to be reserved such quantity and quality of cotton seed as the Director may from time to time by notice in writing direct and shall hold such cotton seed to the order of the Director.

   (2) Any cotton seed reserved pursuant to the provisions of subregulation (1) shall become the property of the Director from the date of the notice reserving the same.

6.   Disposal of seeds for planting

   (1) All cotton seed reserved pursuant to the provisions of regulation 5 shall be dusted, packed, labelled, transported, delivered, stored and sold to growers through co-operative societies at a price to be agreed upon between the Board and Tanzania Cotton Association.

   (2) Every package of seed offered for sale shall be labelled in accordance with the specifications set out under the provisions of the Seeds (Regulation of Standards) Act *.

7.   Supply of agrochemicals and applicators

   The Board shall have power to appoint fit and proper persons for the supply and distribution of agrochemicals and their applicators.

8.   Plant Protection Act No. 18 of 1979

   In liaison with the Tropical Pesticides Research Institute the Board shall have the power to approve or disapprove the type of agrochemicals to be used.

(b) Pests and Diseases (regs 9-11)

9.   Declaration of quarantine areas

   (1) The Director in consultation with the Board may, if he considers it necessary for the purpose of preventing the outbreak or spread of any cotton insect pest or disease, by order under his hand declare any area to be a cotton quarantined area and may in any such order:

   (a)   prohibit or regulate the sowing in such area of cotton seed or any other crop specified in the order known to harbour insect pests or diseases of cotton;

   (b)   prohibit the removal from such area without a permit in writing issued by the Director of any seed cotton or cotton seed or any plant or any article which has contained any seed cotton or cotton seed or any article which in his opinion is likely to harbour insect pests or diseases of cotton.

   (2) The Board may by written notice require any person within the time specified in such notice to remove to any place or to destroy any seed cotton, or cotton refuse in that person's possession or control in such cotton quarantine area, and where any such person fails to comply with any such notice the Board may, on giving not less than seven days' notice in writing of his intention so to do, cause such removal or destruction to be effected and thereupon such person shall, without prejudice to any penalty which may have incurred by reason of such failure be liable to pay all costs of such undertaking which costs shall be recoverable as a debt due to the Board.

   (3) If any person contravenes or fails to comply with any provision of any order or notice made or issued under this regulation commits an offence.

10.   Prevention of diseases

   (1) The Director in consultation with the Board may, by order under his hand, for the purpose of preventing or controlling the occurrence or spread of any insect pests or disease of cotton within any area specified in such order–

   (a)   require that within such area:

      (i)   all or any cotton plants, cotton residues or any plant specified in the order, to be uprooted and burned by any person possessing or having control over the same;

      (ii)   all or any seed cotton, cotton seed or cotton refuse shall be burned;

   (b)   require any grower within such area forthwith to harvest such of his seed cotton as, in the opinion of the Director, is ready for harvesting;

   (c)   prohibit any person within such area from planting any cotton seed or cotton plant before a date specified in the order.

   (2) Any person who contravenes or fails to comply with any of the provisions of any order made under this regulation commits an offence.

   (3) Where any person fails to comply with the provisions of any order made under subregulation (1) of these regulations, the Board, upon giving not less than seven days' notice in writing of his intention so to do, cause such measures to be taken as may be necessary to carry out the provisions such order and thereupon such person shall, without prejudice to any penalty which he may have incurred by reason of such failure, be liable to pay all the costs of such undertaking which costs shall be recoverable as a debt due to the Board.

11.   Appointment of extension officers

   The Board shall have power to appoint qualified persons to be cotton extension officers who shall supplement the existing extension system.

PART II
GRADING (regs 12-14)

12.   Grower to grade seed cotton before sale

   Every cotton grower shall before making any sale grade all seed cotton intended for sale into Grade A cotton or Grade B.

13.   The Board may determine the grade of cotton

   The Board may, by order, determine which grade of seed cotton may be sold or bought in any specified area during a specified period.

14.   Mixing different grades of seed cotton or unmerchantable cotton with graded cotton

   (1) No person shall mix–

   (a)   any other cotton seed with Grade A seed cotton;

   (b)   any other seed with Grade B seed cotton;

   (c)   any unmerchantable cotton with graded cotton.

   (2) Any person who sells seed cotton without first grading the same or mixes unmerchantable cotton with graded cotton commits an offence and on conviction shall be liable to pay a fine of not less than fifty thousand shillings or imprisonment for a period of not less than three months or to both such fine and imprisonment.

   (3) Any person who buys improperly graded seed cotton or graded cotton mixed with unmerchantable cotton shall be guilty of an offence.

PART III
BUYING OF COTTON (regs 15-25)

15.   Restriction on cotton buying

   (1) No person other than a holder of a seed cotton buying licence shall buy seed cotton.

   (2) Where a specified organisation licensed as a cotton buyer buys seed cotton through its members, such members shall not be required to obtain cotton buying licences.

   (3) No cotton buyer shall buy seed cotton at any place other than at a cotton buying post specified in his cotton buying licence.

   (4) Any person who contravenes any of the provisions of this regulation shall be guilty of an offence.

16.   Cotton buying licences

   (1) The Board shall, on application for a cotton buying licence, issue to the applicant a cotton buying licence in the prescribed form which shall entitle the holder to buy seed cotton.

   (2) Every cotton buying licence shall specify the cotton buying post or posts at which the holder shall be entitled to buy seed cotton.

   (3) A cotton buying licence shall, unless previously revoked or surrendered, remain in force until the fifteenth day of November following the date of issue of such licence:

   Provided that Board shall have power to extend the validity of the licence on sufficient grounds.

17.   Restriction on issue of cotton buying licences

   (1) Notwithstanding the provisions of subregulation (1) of regulation 15, the Minister may after consultation with the Board and by notice in the Gazette, specify an area or areas in which a cotton buying licence may not be issued to any person other than a specified organisation, and in respect of any such area the Board shall not issue a cotton buying licence to any applicant other than a specified organisation.

   (2) For the purposes of this regulation a "specified organisation" means the Board, a co-operative society, a subsidiary company and any body of persons designated by the Board in writing under its seal or by notice in the Gazette to be a specified organisation for the purpose of this regulation.

18.   Provision relating to cotton buying licence

   (1) A seed cotton buying licence shall not be assignable or transferable.

   (2) A seed cotton buyer shall produce his cotton buying licence at all reasonable times upon request of the inspector.

   (3) Any cotton buyer who fails without reasonable cause to produce his licence when so requested commits an offence.

19.   Cotton stores

   (1) No person shall erect or operate a cotton store for the purpose of storing seed cotton without the permission in writing of the Board.

   (2) Any person who contravenes the provisions of this regulation commits an offence.

20.   Cotton buying posts

   The Board may, by notice, order any premises or place to be a cotton buying post and may in such order declare such place to be either a temporary cotton buying post or a permanent cotton buying post.

21.   Places where cotton may be sold

   (1) No person shall sell any seed cotton except at a cotton buying post.

   (2) Any person who contravenes the provisions of this regulation commits an offence and on conviction shall be liable to a fine not exceeding fifty thousand shillings or imprisonment for a period not less than six months or to both such fine and imprisonment.

22.   Purchase of cotton

   (1) The Board shall, by order–

   (a)   fix a date in each year prior to which no seed cotton shall be bought in any specified area;

   (b)   declare the unit of weight to be used for the purpose of weighing seed cotton in any specified area;

   (c)   fix a date in each year after which no seed cotton shall be bought in any specified area.

   (2) The trading hours at a cotton buying post shall be from 8.00 hours in the morning to 18.00 hours in the evening.

   (3) Every year the Minister shall in consultation with the Board and Tanzania Cotton Association (TCA), announce floor price before commencement of seed cotton buying.

   (4) Any cotton buyer who contravenes or fails to comply with the provisions of any order made under this regulation, commits an offence.

23   International marketing information

   All traders in the cotton industry shall be guided in their dealings in respect of prices and quality by prevailing international marketing information.

24.   Conditions to be observed by cotton buyers

   (1) Every cotton buyer shall:

   (a)   at all times when his premises are open for business, display in Kiswahili and English in conspicuous character the prices offered by him per unit weight of each grade of seed cotton;

   (b)   use jute, cotton or any other material that shall be recommended by the Board to pack seed cotton and cotton seeds;

   (c)   produce correct standard weekly reports to the Board showing weekly purchases and deliveries of seed by grade for every buying post;

   (d)   display standard grade sample box approved by the Board;

   (e)   display a weighing scale properly serviced, inspected and approved by the weights and measurements Department of the Ministry for the time being responsible for Trade and Industries;

   (f)   store all seed cotton in his possession in a cotton store at one or any of the cotton buying posts at which he is licensed to buy or in such storage accommodation as the Board may require;

   (g)   buy all seed cotton offered to him at the prices exhibited:

         Provided that a specified organisation shall only buy seed cotton in accordance with the rules, regulations or any written law governing purchases to be made with it;

   (h)   keep all Grade A cotton separate from Grade B cotton;

   (i)   ensure that all cotton purchased by him is correctly graded.

   (2) No cotton buyer shall–

   (a)   buy seed cotton at a price less than the price exhibited;

   (b)   buy seed cotton without issuing produce receipts to the farmers in respect of all seed cotton purchased;

   (c)   buy seed cotton unless the entire consideration for the purchase is paid in cash at the time and place of delivery;

   (3) Any cotton buyer who contravenes or fails to comply with any of the provisions of this regulation commits an offence.

25.   Inspection of premises and records

   (1) An Inspector may at all times–

   (a)   enter upon any premises of cotton buyers for the purpose of inspecting the same and any seed cotton and scales thereon;

   (b)   inspect and make copies of entries in any books of account or other documents required to be kept under the provisions of regulation 23;

   (c)   suspend the seed cotton buying operation by seizing the weighing scale and revoking the buying licence.

   (2) Any person who obstructs any officer lawfully exercising his power under this regulation or refuses such officer permission to exercise such power or fails to co-operate with such officer in the exercise by such officer of any such power commits an offence and on conviction shall be liable to a fine not less than five hundred thousand shillings or imprisonment for a period not less than three years or to both such fine and imprisonment.

PART IV
COTTON DEVELOPMENT FUND (regs 26-29)

26.   Establishment of Cotton Development Fund

   There shall be established a fund for cotton development to be known as the Cotton Development Fund which shall be financed by cotton stakeholders by way of levies.

27.   Functions of the Fund

   The functions of the Fund shall include–

   (a)   supplementing prices for cotton seeds for planting;

   (b)   supplementing prices for agrochemicals and their applicators;

   (c)   supporting cotton related research activities;

   (d)   supporting cotton related extension services;

   (e)   supporting cotton related information systems; and, but not limited to

   (f)   supporting cotton related education.

28.   Management of the Fund

   (1) The Board shall be responsible for collection of monies for the Fund.

   (2) The Fund shall be managed by a Board of Trustees to be appointed by the Minister.

   (3) The Board of Trustees appointed under subregulation (2) shall consist of representatives from–

   (a)   the Ministry for the time being responsible for Agriculture;

   (b)   Ginners and Traders Association;

   (c)   Cotton Farmers Association.

   (4) The Board shall be a member of the Board of Trustees and shall serve as Secretary to the Board of Trustees.

29.   Levies for the Cotton Development Fund

   (1) Every ginner shall pay through the Board US Dollars 0.00363 of its equipment per kilogram of lint which shall be remitted to the Cotton Development Fund.

   (2) Any person who contravenes the provisions of this regulation shall be guilty of an offence.

   (3) Without prejudice to any penalty incurred by reason of such failure a person contravening the provisions of this regulation shall remain liable to pay all outstanding levies.

PART V
GINNING AND BALING (regs 30-38)

30.   No erection of ginnery without a permit

   (1) No person shall erect or operate a ginnery save with a permit in the prescribed form issued by the Board and in accordance with such conditions as the Board may specify or as may be prescribed.

   (2) The Board may by order limit the number of ginneries which may operate in any area.

   (3) No person shall operate a ginnery unless it has been duly inspected and certified by the Board.

   (4) Any person who contravenes the provisions of this regulation or of any order made under this regulation commits an offence.

31.   Ginning licences

   (1) No person shall gin seed cotton or bale cotton lint unless he is the holder of a valid ginning licence by the Board in the prescribed form.

   (2) A ginning licence shall, unless revoked or suspended, remain in force until the thirty-first day of March following the date of issue of such licence.

   (3) A ginner shall draw one sample from each bale that is one hundred per centum sampling, and each sample shall weigh not less than two hundred grams and shall deliver all samples to the Board within one week after drawing the relevant samples.

   (4) Any person who contravenes the provisions of this regulation commits an offence.

32.   Application for ginning licence

   (1) Application for a ginning licence shall be made to the Board in the prescribed manner.

   (2) The Board may for good reason refuse to issue a ginner's licence, and in that event shall communicate to the applicant the grounds for such refusal within fourteen days.

33.   Conditions as to ginning licence

   (1) A ginning licence shall entitle the holder to gin seed cotton and bale cotton lint upon the premises specified therein and in accordance with such conditions as to machinery, plant, storage accommodation and output as may be prescribed, or as may be specified in the licence.

   (2) Any holder of a ginning licence who fails to comply with any order or condition lawfully made or imposed under subregulation (1) commits an offence.

34.   Movement of cotton

   (1) No person shall move or cause to be moved any seed cotton from one region to another except in accordance with a permit in writing issued by the Board.

   (2) Any person who contravenes the provisions of this regulation shall be guilty of an offence.

35.   Register of ginneries

   The Board shall keep and maintain a register of all ginneries in respect of which licences have been issued.

36.   The Board may revoke licence

   Where a holder of a ginning licence fails to comply with any condition lawfully attached thereto or conducts himself in a manner which in the opinion of the Board is prejudicial to the public interest, or fails to discharge any duty imposed upon him by these Regulations, the Board may revoke his licence.

37.   Ginning licence not assignable

   A ginning licence shall not be assignable or transferable.

38.   Duties of holder of ginning licence

   (1) It shall be the duty of every holder of a ginning licence to comply with the licence conditions, namely–

   (a)   to maintain and work the ginnery in a proper and workmanship manner and in such a way as not to cause deterioration or damage to the seed cotton, cotton lint, or cotton seed handled therein;

   (b)   to ensure that all seed cotton delivered to the ginnery is correctly graded and shall thereafter keep all Grade A cotton and the lint therefrom and all Grade B cotton and the lint therefrom separate from one another and from any other seed cotton;

   (c)   to keep all seed cotton, cotton seed and cotton lint which has been salvaged from damage by fire or water separate from all other seed cotton, cotton seed and cotton lint only in accordance with instructions from the Board;

   (d)   to keep such records and make such returns as may be prescribed;

   (e)   to keep all seed cotton, cotton seed and cotton lint in his possession or control properly stored in the ginnery buildings or stores;

   (f)   to keep the ginnery and its precincts in a clean and sanitary condition;

   (g)   to take all reasonable precautions for the prevention of accidents and take such precautions for the prevention of fire as may be prescribed;

   (h)   to gin before any other seed cotton any seed cotton in respect of seed of which the Board gives notice of its intention to exercise its powers under the provisions of these Regulations;

   (i)   to produce cotton lint free from all seeds or parts of seeds or other substances whatsoever which ought to have been removed therefrom by the processes of ginning if the same had been carried out in a proper and workmanship manner;

   (j)   to gin all seed cotton which may be delivered to him for ginning up to the capacity of the ginnery.

   (2) Any holder of a ginning licence who contravenes any of the provisions of this regulation commits an offence.

   (3) Where any ginnery or any machinery in any ginnery is being maintained or used in such a manner as to cause deterioration or other damage to any cotton handled in such ginnery, the Board may suspend the ginning licence relating to such ginnery until such time as it is satisfied that the cause of such deterioration or other damage has been removed.

PART VI
LEVY ON COTTON LINT (reg 39)

39.   Levy on cotton lint

   (1) Ginners shall pay US Dollars 0,0121 per kilogram of lint or its equivalent to the Board to finance the Board's regulatory functions and the rate payable may be reviewed by the Minister from time to time.

   (2) The local textile and spinning mills shall produce standard monthly reports to the Board showing monthly purchase and prices paid for each grade of cotton lint.

   (3) Any person who fails to comply with the provisions of this regulation commits and offence.

   (4) Without prejudice to any penalty incurred by reason of such failure the ginners shall remain liable to pay all the outstanding levy.

PART VII
PURCHASE, SALE AND EXPORT OF COTTON LINT AND COTTON SEED (regs 40-53)

40.   Purchasers and sellers of seed cotton, cotton lint and cotton seeds

   Subject to the provisions of these Regulations, any person may purchase seed cotton, cotton lint and cotton seeds for the purpose of export or re-sale within the United Republic.

41.   Appointment of Inspectors

   The Board shall have power to appoint qualified persons to be inspectors.

42.   Functions of Inspectors

   (1) The functions of Inspectors shall be to supervise the purchase, ginning and export of seed cotton, cotton lint and cotton seed.

   (2) Without prejudice to the generality of the foregoing functions, the Inspectors shall have and exercise such other powers including the inspection of seed cotton, cotton ginneries and cotton stores, the taking of cotton samples, the verifying of weights and qualities of seed cotton and cotton seed, the certifying of qualities of cotton lint, as are provided for in these Cotton Regulations or as may be prescribed.

43.   Granting of licences

   (1) Licences granted under these Regulations by the Board, shall be–

   (a)   in the prescribed manner;

   (b)   valid for a specified period;

   (c)   subject to such terms and conditions as may be prescribed or endorsed therein;

   (d)   issued subject to the payment of fees as may be prescribed by the Board.

   (2) The Board may cancel or suspend a licence if the licensee fails to comply with terms and conditions of his licence and such cancellation or suspension as the case may be, shall be in addition to a penalty to which the licensee may be liable under this regulation.

44.   Restriction on purchase and export of cotton

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