Regulatory Arrangements for the General Authority for Food Security

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  • In the name of Allah, the Most Gracious, the Most Merciful

  • Council of Ministers Decision No. (440) dated 1444/6/24 AH

  • The Council of Ministers

  • After reviewing in its session chaired by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, the correspondence received from the Royal Court No. 21052 dated 23/3/1444 AH, including the telegram of His Excellency the Minister of Environment, Water and Agriculture, Chairman of the Board of Directors of the Saudi Grains Organization No. 328635 dated 16/10/1443 AH, regarding the executive summary of the development path of the Saudi Grains Organization to the General Authority for Food Security, and the draft statute of the General Authority for Food Security.

  • After reviewingThe Flour Mills Law, issued by Royal Decree No. (M/91) dated 16/8/1439 AH.

  • After reviewing the statute of the Saudi Grains Organization, issued by Council of Ministers Decision No. (328) dated 2/8/1437 AH.

  • After reviewing the Food Security Strategy, issued by Council of Ministers Decision No. (439) dated 15/8/1439 AH.

  • After reviewing the strategy of the Saudi Grains Organization, issued by Council of Ministers Decision No. (50) dated 18/1/1441 AH.

  • After reviewing memoranda No. (357) dated 8/2/1444 AH, No. (715) dated 3/3/1444 AH, No. (1199) dated 16/4/1444 AH, No. (1265) dated 22/4/1444 AH, and No. (1895) dated 22/6/1444 AH, prepared by the Bureau of Experts at the Council of Ministers.

  • After reviewing the minutes prepared by the Council of Economic and Development Affairs No. (525/44/M) dated 5/5/1444 AH.

  • After reviewing the telegram of the Secretariat of the Council of Political and Security Affairs No. 11835 dated 11/6/1444 AH.

  • After reviewing the recommendation of the General Committee of the Council of Ministers No. (6520) dated 22/6/1444 AH.

  • It is decided as follows:

    • First: To transform the (Saudi Grains Organization) into an authority named (General Authority for Food Security).

    • Second: To approve the organizational arrangements of the General Authority for Food Security, in the attached form.

    • Third: The exercise of the Authority’s Board of Directors’ powers - as stated in paragraph (3) of Article (6) of the arrangements referred to in item (Second) of this decision - shall be in agreement with the Ministry of Finance and the Non-Oil Revenues Development Center, until the issuance of the regulations governing the practice of public authorities and institutions and their equivalents in imposing fees for the services and works they provide and their implementation.

    • Fourth: His Excellency the Minister of Environment, Water and Agriculture, Chairman of the Board of Directors of the General Authority for Food Security, and His Excellency the Minister of Finance shall agree on all matters related to the investment of the Authority’s funds, and establish appropriate mechanisms enabling it to benefit from its revenues and fees for the services and works it provides, ensuring the financial sustainability of the Authority, without prejudice to the provisions of the Royal Circular Order No. (55685) dated 30/11/1438 AH.

    • Fifth: To replace the phrase "General Authority for Food Security" instead of the phrase "Saudi Grains Organization" wherever it appears in the laws, regulations, orders, decrees, decisions, and related directives, and to replace the word "Authority" instead of the word "Organization" wherever it appears in the Flour Mills Law, issued by Royal Decree No. (M/91) dated 16/8/1439 AH.

    • Sixth: The General Authority for Food Security shall continue to carry out the operational activities of the storage silos - including the purchase of wheat and strategic storage - until the decision is made to transfer them to the Saudi Agricultural Investment Company for Agricultural and Animal Production "SALIC".

    • Seventh: The General Authority for Food Security shall, within a period not exceeding twelve (12) months from the date of approval of this decision, prepare a draft statute for it in light of the organizational arrangements referred to in item (Second) of this decision, and any other matters that may arise in this regard, and submit it for consideration, in preparation for completing the necessary legal procedures.

  • Prime Minister

Article 1

The following words - wherever they appear in these organizational arrangements - shall have the meanings specified next to them,
unless the context requires otherwise:
The Panel: The General Panel for Food Security.
The Organizational Arrangements: The organizational arrangements of the Panel.
The Minister: The Minister of Environment, Water, and Agriculture.
The Council: The Board of Directors of the Panel.
The President: The President of the Council.
The Governor: The Governor of the Panel.

Article 2

The authority enjoys public legal personality, with financial and administrative independence, and is organizationally linked to the Minister. Its main headquarters is located in the city of Riyadh. It has the right - when necessary - to establish branches or offices within the Kingdom.

Article 3

The Authority aims to organize, develop, and enhance food security, ensuring the protection of the vital interests of the state and its national security, and to monitor compliance with the regulations and plans issued in this regard.

Article 4

Article 5

  • 1- The Authority shall have a Board of Directors chaired by the Minister and composed of the following members:

    • A- The Governor.

    • B- A representative from the Ministry of Environment, Water, and Agriculture.

    • C- A representative from the Ministry of Finance.

    • D- A representative from the Ministry of Commerce.

    • E- A representative from the Ministry of Interior.

    • F- A representative from the National Risks Council.

    • G- A representative from the Saudi Food and Drug Authority.

    • H- Representatives from the private sector with expertise and specialization in the field of the Authority's work, appointed by a decree from the Prime Minister based on the nomination of the Minister.

  • 2- The rank of representatives of government entities in the Council shall not be less than (fifteenth) or its equivalent.

  • 3- Except for the President and the Governor, the term of membership in the Council shall be (three) years, renewable for one additional term.

  • 4- The President shall select a Deputy from the members of the Council representing government entities, excluding the Governor.

Article 6

The Council is the authority that dominates the affairs of the Authority, manages it, and conducts its matters. It makes all necessary decisions to achieve its objectives within the provisions of the regulatory arrangements, and it has, in particular, the following:
1- Approval of the general policies of the Authority, its strategies, plans, and programs.
2- Approval of the frameworks, rules, standards, controls, and performance measurement indicators related to the Authority's work.
3- Determining the financial fees for the licenses, works, activities, and services it provides.
4- Approval of the organizational structure of the Authority.
5- Approval of the financial regulations and administrative regulations that govern the Authority, in agreement with the Ministry of Finance regarding the financial regulations and provisions with financial implications in the administrative regulations, and in agreement with the Ministry of Human Resources and Social Development regarding the administrative regulations.
6- Approval of other internal regulations that govern the Authority.
7- Approval of the draft budget of the Authority, its final account, the auditor's report, and the annual report, in preparation for submitting them according to the legal procedures.
8- Appointing an external auditor (or more) and an internal financial controller.
9- Approval of entering into agreements, memoranda of understanding, and contracts, according to the applicable legal procedures.
10- Approval of establishing branches and offices for the Authority within the Kingdom.
11- Acceptance of gifts, donations, grants, bequests, endowments, and gifts offered to the Authority in accordance with the governing provisions.
12- Reviewing periodic reports submitted on the progress of work in the Authority and making necessary decisions regarding them.
13- Holding conferences, seminars, and meetings related to the objectives of the Authority, according to the applicable legal procedures.
The Council may form permanent or temporary committees from its members or others, assigning them tasks it deems appropriate, specifying in the decision to form each committee its chairperson, members, and competencies, and it may seek assistance from whoever it deems necessary to perform the assigned tasks.
The Council may delegate some of its powers to its chairperson or to any of its members or to the staff of the Authority as it sees fit.

Article 7

1- The Council meets -periodically- at least three times a year, and whenever necessary as determined by the President or his Deputy, or if requested by at least one-third of its members.
2- The invitation to the meeting is issued by the President or his Deputy -in writing- at least seven days prior to the meeting date, and the invitation must include the agenda.
3- The meetings of the Council are held at the headquarters of the Authority. The meeting may be held at any other location within the Kingdom by a decision of the President.
4- For the meeting to be valid, the presence of the majority of the members is required, including the President or his Deputy, and decisions are made by a majority of the votes of those present at least, and in the event of a tie, the side that the President of the meeting votes for is favored.
5- No member may abstain from voting, nor delegate another to vote on his behalf in his absence.
6- The deliberations and decisions of the Council are recorded in minutes signed by the President of the meeting and the attending members. A member has the right to register his objection with justification in the minutes of the Council meeting.
7- The President or his Deputy may invite anyone they deem to have expertise and experience to attend the Council meetings, to provide information, opinions, and advice, without having the right to vote.
8- If necessary and as deemed appropriate by the President, meetings may be held and voting may occur remotely using technological means. Decisions may be made by circulation to the members, and signed to indicate that all members have been informed of them, and decisions made in this manner are not considered valid unless they are circulated to all members, voted on by all members, and receive a majority of their votes.
9- The Council shall have a Secretary from the Authority's staff, chosen by the President of the Council based on the nomination of the Governor, who will be responsible for the Council's secretariat, preparing for meetings, recording the minutes, deliberations, and decisions, and attending the Council meetings without having the right to vote.

Article 8

The General Panel shall have a Governor at the excellent rank, appointed based on a nomination from the Minister, and he shall be responsible for managing the affairs of the Panel. His responsibilities are concentrated within the limits set by the organizational arrangements and what the Council decides, and he shall undertake the following competencies:
1- Proposing the policies, strategies, plans, and programs of the General Panel, submitting them to the Council for approval, and following up on their implementation after approval.
2- Proposing the frameworks, rules, standards, controls, and performance measurement indicators related to the works of the Panel, and submitting them to the Council for approval.
3- Proposing the organizational structure of the Panel, its administrative, financial, and internal regulations, and submitting them to the Council for approval.
4- Supervising the workflow in the Panel through the regulations and decisions approved by the Council.
5- Supervising the preparation of the Panel's annual report and draft budget and final accounts; in preparation for submitting them to the Council.
6- Supervising the preparation of reports related to the implementation of the Panel's plans and programs, in preparation for submitting them to the Council.
7- Providing periodic reports to the Council about the works, achievements, and activities of the Panel.
8- Appointing employees in the Panel and supervising them according to the Panel's regulations.
9- Issuing orders for the expenses of the Panel, in accordance with the financial regulations of the Panel.
10- Following up on the implementation of the decisions issued by the Council.
11- Representing the Panel before the judiciary, government entities, and other related institutions, and other entities within the Kingdom, with the authority to delegate others in this regard.
12- Issuing the necessary decisions to implement the provisions contained in the organizational arrangements and regulations, according to the powers granted to him by the Council.
13- Contracting with consulting offices, expert houses, and experts, within the scope of the Panel's activities, and according to what is determined by the Panel's regulations.
14- Any other competencies assigned to him by the Council.
The Governor may delegate some of his competencies to others among the Panel's staff.

Article 9

  • 1- The financial resources of the Authority consist of the following:

    • A- The appropriations allocated to it in the state’s general budget.

    • B- The financial fees it charges for the licenses, services, and works it provides.

    • C- The returns on investments of the financial resources and assets available to the Authority.

    • D- Any gifts, donations, grants, bequests, and endowments accepted by the Council, in accordance with the regulations governing that.

    • E- Any other resource approved by the Council, provided it does not violate the regulations and instructions.

  • 2- All revenues of the Authority shall be deposited in a current account of the Ministry of Finance at the Saudi Central Bank.

  • 3- The Authority shall open an account for itself at the Saudi Central Bank. It may also open other accounts at any of the banks licensed to operate in the Kingdom, and withdrawals from these accounts shall be made in accordance with the Authority's budget.

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