This archive report was first published on 5 December 2019.
December 5, 2019
Kenya's Governor Francis Kimemia has called for an inter-governmental team to investigate the distortion of milk prices in the country. The move comes after milk prices dropped from Sh 35 to Sh 17 across the country, causing protests by farmers.
"It is not normal that producer prices have continued to plummet while shelf prices have remained the same. This is a product of market distortions which are exacerbated by the international market dynamics within the East African Community's tariff structures which are disadvantaging our farmers," Governor Kimemia said.
The Governor raised alarm over uncontrolled milk imports, particularly powder, which he said would hurt the dairy market. He called on the national government to check on the imports and implement policies that would compel state and non-state agencies to exhaust local milk supplies before importing.
"Our state organs like the disciplined services, UN agencies and other humanitarian organizations should first use what's locally available before venturing into imports. Let our policies be producer-conscious and our efforts geared towards putting money into the farmers' pockets," he recommended.
Kimemia also suggested that the government reduce the prices of dairy feeds, which were becoming expensive. He noted that the dairy sector contributes significantly to the country's GDP and that solutions to the sector's challenges should be considered.
