This archive report was first published on 8 July 2019.
Kenya Cooperative Creameries (KCC) has embarked on a Sh150 billion modernisation programme to improve the lives of dairy farmers across the country. The programme, which was launched at the Kiganjo plant in Nyeri, aims to increase farmers' pay out from Sh2.5 billion to Sh4.5 billion per year.
Managing Director Nixon Sigey said the modernisation programme will see the company spend Sh1 billion to procure new equipment, which will be installed in some processing factories. The new equipment will help reduce the cost of production, making KCC more competitive in the market.
“We believe that by the completion of the modernisation programme, the farmers will get a pay out of Sh6 billion, which is a tremendous improvement,” Sigey said.
Kieni MP Kanini Kega, who attended the equipment's commissioning, called on the government to subsidise power to the KCC factories to help reduce the cost of production. He also proposed that the milk prices paid to farmers should be increased to a minimum of Sh38 per litre.
“The amount of milk should be paid at a minimum of Sh38, because Kieni stands to benefit immensely from this equipment as dairy is our major cash crop,” Kega said.
Published on July 8, 2019.
