Cotton Industry Act (Act No. 2 of 2001).

This Act provides for the establishment of the Tanzania Cotton Board as a body corporate and its functioning, regulates the cultivation of cotton, grading of cotton, trade in cotton, ginning and bailing of cotton, control on the trade in cotton lint and seed, and establishes the Cotton Development Fund and the Cotton Appeals Board.
The Act consists of 57 sections which are divided into 8 Parts: Preliminary provisions (I); The Tanzania Cotton Board (II); Cultivation of cotton (III); Marketing licensing and warehousing (IV); Ginning and baling (V); Purchase, sale and export of cotton lint and cotton seed (VI); Administration and financial provisions (VII); Repeal and consequential provisions (VIII).
Powers of the Cotton Board shall vest in the Board of Directors (sect. 4). The Cotton Board shall promote and regulate the cotton industry as specified in section 5. One of its functions shall be to protect farmers against syndicates of buyers. The Cotton Board has regulation making powers. Cotton cultivation may be subject to directions of the Director being the officer-in-charge of the Department responsible for crop development (sect. 7). The Director may prescribe different varieties to be grown in different parts of Tanzania and may declare cotton quarantine areas and order other disease control measures (sects. 7 to 14). Section 15 provides for the grading of seed cotton (cotton which has been picked but not yet ginned). Only holders of a valid seed cotton buying licence shall buy seed cotton. Ginneries shall be registered by the Cotton Board under section 27, and licensed in accordance with other provisions of Part V. Section 30 restricts movement of seed cotton from one region to another. The Cotton Board shall appoint Cotton Inspectors under section 37.
The Cotton Development Fund established under section 48 shall be managed by a Board of Trustees appointed by the Minister on recommendation of Stakeholders specified in the same section. Regulation making powers of the Cotton Board are outlined in section 54. The Schedule to this Act regulates constitution, functions and proceedings the Board of Directors of the Cotton Board.