This archive report was first published on 12 June 2021.
Kenya's dairy industry has seen a remarkable turnaround in recent years, with milk production and revenue on the rise. According to a report commissioned by the Kenya Dairy Board and undertaken by Tegemeo Institute of Agricultural Policy and Development, the average profitability per litre of milk rose to Ksh16.20 in 2019, up from Ksh4.20 in 2014.
As of the report's publication date, June 12, 2021, the CS for Agriculture, Peter Munya, attributed the increase in profitability to the interventions undertaken by the Ministry in January 2020 to improve and stabilize milk production prices in the country. He also highlighted the rise in the volume of raw milk marketed through organized farmer groups such as cooperatives.
‘Dairy farming is profitable, and this profitability should excite and motivate farmers and potential investors to increase investment in milk production,’ stated Munya.
The report also noted that the cost of milk production remains high, with an average total cost of Ksh23.30 per litre for zero grazers, Ksh23.00 for semi-zero grazers, and Ksh17.24 for open grazers. However, the average cost of producing milk declined by 20 per cent over the last five years.
Beatrice Kimeng’ch, a farmer from Uasin Gishu County, encouraged farmers to keep records and urged the government to educate farmers on record keeping to enable them improve production and provide accurate information to researchers and livestock officers.