Nairobi: The government has unveiled a comprehensive plan to double the country’s milk production from 5.2 billion to 10 billion liters annually, a move that aims to increase small-scale farmers’ average monthly incomes to Sh56,000. Agriculture and Livestock Development Cabinet Secretary (CS) Dr. Andrew Karanja emphasized that achieving these ambitious targets for the dairy industry requires concentrated and collaborative efforts from all stakeholders to tackle challenges in productivity, value addition, and market access for milk and dairy products.
According to Kenya News Agency, Dr. Karanja revealed that last year, the Ministry facilitated a significant meeting between milk processors and President William Ruto to devise strategies for these goals. The discussions resulted in a six-point agenda focused on enhancing milk productivity, reducing production costs, promoting efficient bulking and cooling of raw milk, addressing tax barriers that impede dairy growth, establishing a development fund to support t
he industry, and improving the quality and safety of milk and dairy products.
Speaking at the Kenya Dairy Board (KDB) head office during the launch of the Cost of Milk Production Study Report (2024), Dr. Karanja announced that the Ministry is advancing key legal and regulatory reforms. These include the Livestock Bill 2024, Dairy Industry Bill 2024, and the Veterinary Practice and Veterinary Medicine Bill 2024, all designed to create a more supportive environment for the dairy sector.
The Kenya Dairy Board has recently set up a national dairy regulatory laboratory, now ISO 17025 certified, ensuring reliable testing of milk and dairy products. The Ministry plans to enhance the lab’s capacity for specialized contaminant testing and encourages stakeholders to use this facility to access both domestic and export markets.
Dr. Karanja highlighted that the dairy industry is a crucial socio-economic sector in Kenya, supporting incomes, employment, food security, and social status for many. Annually, Kenya produces
about 5.2 billion liters of milk, which accounts for 10% of Africa’s and 35% of the East African Community’s total production.
He noted that in 2023, the volume of milk received by the formal market increased by 7.4% to 811 million kilograms, up from 755 million kilograms in 2022. The value of this milk rose by 13%, reaching Sh40.5 billion, compared to Sh35.7 billion the previous year.
Dr. Karanja explained that, as per the Economic Survey 2024, milk ranks as Kenya’s fourth most valuable agricultural commodity after tea, horticulture, and cattle sales, supporting the livelihoods of over two million small-scale rural dairy farmers.
Despite challenges like high costs for commercial feeds, fodder, and labor, Dr. Karanja emphasized the profitability of dairy farming, with earnings ranging from Sh9.8 to Sh13.9 per liter, depending on the production system. He urged stakeholders, including farmers, cooperatives, processors, and private investors to leverage the Government’s public land leasing program for large-
scale production and distribution of quality fodder, asserting that improved feeding strategies will significantly enhance productivity.
KDB Managing Director (MD) Margaret Kibogy reported an increase in the number of farmers selling their milk to cooperatives, with the number of cooperatives growing from 600 to around 700 nationwide. This organization among farmers is expected to help improve quality.
Kibogy assured that the country has sufficient installed capacity to process additional milk during increased production seasons, with the processing capacity rising from 3.5 million liters daily to 5.2 million, currently operating at 45% utilization.
The MD noted that farmers have embraced the conservation of feeds, with some milk processors engaging farmers to lower the cost of a kilogram of silage from Sh19 to Sh15. They are exploring further interventions to reduce the cost of animal feeds, which will enhance the sector’s competitiveness.