The Ministry of Social Affairs instructed the Union of Consumer Cooperative Societies to issue a circular to all cooperative boards emphasizing strict adherence to purchasing only from companies and suppliers that possess approved circulars from the union or carry authorized commercial agencies for the supplied products, Al Jarida reported. The move seeks to organize supply processes and restrict dealings to vetted entities alone. According to the circular obtained by the newspaper, each cooperative society’s board of directors carries complete responsibility for any violation or deviation from the union’s directives on this issue.
Cooperative boards must now verify supplier approvals and documentation thoroughly before engaging in any procurement or supply transactions while limiting all operations to the union’s official approved lists and circulars. This directive follows the issuance of Ministerial Decision No. 196 of 2026, which formalized supplier registration procedures under the union and mandated use of standardized contracts for all transactions. The July regulation also prohibits conditioning supplier approvals on unrelated commercial requirements.
Kuwait maintains roughly 73 cooperative societies that form a key part of the retail distribution network serving residential areas across the country, the Ministry of Social Affairs has indicated in prior statements. Figures from the Central Administration of Statistics show these societies generated sales totaling 903 million dinars in 2023 while recording trading profits approaching 100 million dinars. The latest instructions build upon a series of regulatory steps aimed at increasing transparency in the sector.
The Union of Consumer Cooperative Societies oversees supplier registration under the new rules, issuing certificates that include QR codes for verification of underlying compliance documents such as certificates of origin and trademark ownership. For imported goods this includes approval from the Ministry of Commerce and Industry while locally produced items require proof of licensed facilities or equivalent distribution rights. Such measures ensure that only qualified participants engage with cooperatives that supply daily necessities to a large segment of the population.
Earlier directives from the ministry have required cooperatives to source at least 75 percent of agricultural products from local producers via approved auctions, a policy designed to support domestic farming and food security objectives. The ministry has also allocated space within central markets for local produce displays and assigned dedicated staff to oversee compliance with these procurement targets. These interconnected policies reflect sustained attention to both supply chain integrity and promotion of national economic priorities within the cooperative framework.