Kenya's Dairy sector gets a Boost with 2024 Milk Production Report

Nairobi, 

Wednesday, 20 November, 2024 

McCreadie Andias 

Kenya’s dairy industry, a cornerstone of the nation's economy, has received renewed focus with the launch of the 2024 Study Report on Milk Production Costs and Profitability. 

Cabinet Secretary for Agriculture, Dr. Andrew Karanja, unveiled the report at the Kenya Dairy Board headquarters, emphasizing the government’s commitment to revitalizing the sector.

With an annual milk output of 5.2 billion liters, Kenya contributes 10% of Africa’s and 35% of the East African Community’s milk supply. The dairy industry is a lifeline for millions, generating incomes, creating jobs, and bolstering food security across the nation.

Insights from the Report

The study, now in its fourth year, was commissioned by the Kenya Dairy Board to document farm-level production costs, identify cost drivers, and propose actionable interventions. 

It aims to guide policy and regulatory decisions to ensure fair pricing for both producers and consumers, as well as enhance the sector’s competitiveness and sustainability.

Key recommendations include reducing the cost of animal feeds, promoting superior cattle breeds, and enhancing transparency in milk pricing. The report also advocates for increased farmer training on dairy herd management and stronger enforcement of feed quality standards.

Government’s Vision for the Dairy Sector

Dr. Karanja outlined the government’s multi-pronged approach to strengthening the dairy sector. Efforts include improving milk quality and safety, expanding storage infrastructure, and promoting the adoption of affordable animal feeds and quality fodder. Superior cattle genetics, tailored to local conditions, are also a priority.

In a bid to attract youth and private investors, the CS encouraged stakeholders to leverage the government’s public land leasing program for large-scale fodder production. This initiative is expected to mitigate feed shortages, a significant cost driver for dairy farmers.

Driving Collaboration Across the Value Chain

The report emphasizes the need for collaborative efforts among stakeholders in the dairy value chain to implement the proposed interventions effectively. Transparency in milk pricing and timely payments to farmers by cooperatives and processors are vital to fostering trust and sustainability in the sector.

Dr. Karanja reiterated the government’s dedication to empowering dairy farmers, stating, “Our focus is on creating an enabling environment where farmers, cooperatives, and investors can thrive while ensuring the sector remains competitive and resilient.”

Sustainable Growth for the Future

The 2024 Milk Production Report is a crucial tool for shaping the future of Kenya’s dairy industry. By addressing key challenges such as production costs and market inefficiencies, the report provides a roadmap for sustainable growth.

As the dairy sector continues to grow, the government and industry players are optimistic that these interventions will unlock the full potential of Kenya’s dairy industry, ensuring it remains a pillar of economic growth and food security for generations to come.