Dairy farmers in Kenya are still struggling with the high costs of milk production, largely driven by the soaring prices of animal feeds. Currently, the production costs range from Sh37 to Sh47 per litre, depending on the farming system.
Livestock Principal Secretary Jonathan Mueke highlighted this persistent challenge during the launch of the Kenya Dairy Board Strategic Plan 2023-2027 at KDB headquarters in Nairobi. He noted that these cost levels have remained largely unchanged over the past five years, though ongoing surveys aim to assess any recent increases.
Mueke also attributed the high production costs to climate change impacts, further complicating the situation for dairy farmers. To address these challenges, the government, in collaboration with KDB and other stakeholders, has implemented initiatives to support farmers in fodder production.
He emphasized that the objective is to double the annual milk production from the current 5.2 billion litres to 11 billion litres by 2027. Additionally, the plan aims to increase annual dairy exports to one billion litres, with a target to boost exports by 200 million litres each year.
“We are seeking to expand milk production even in the non- traditional milk producing areas such as the Asals. Besides doubling production of farmers in the milk growing areas, we will also look into northern Kenya, Coast and Lower Eastern where we are currently piloting. We will assist farmers with extension service and capacity building to help increase production,” he said.
Mueke said the dairy sector is not just a vital component of our agricultural economy, but also key in food security and nutrition efforts.
“As we move forward, it is imperative that we embrace sustainable practices that not only increase productivity but also ensure the wellbeing of our farmers and the quality of our dairy products,” he said.
Kenya Dairy Board managing director Margaret Kibogy said the country has improved value of export markets to about Sh4 billion in Tanzania, South Sudan and Somalia.
She said Tanzania is a big market for Kenya’s UHT products and the two countries are in talks to review tariffs for Kenya to access the market.
“We are also looking at other markets in Western Africa and South Africa such as Zimbabwe following the African continental free trade area.The markets are there, but the landing costs could give us a challenge,” Kibogy said.
“Those are some of the areas we are negotiating as a sector to push our products. We’re also looking at the Middle East market. We have started with camel milk powder which is doing well so far hence the need for more products.”
One of the key export challenges the country is facing is sustainability.
“This is due to the effects of climate change such as drought. Today there is a market for export and tomorrow we’re not able to service that market. This is a big challenge and we want to rally our farmers to produce more milk because we have enough capacity to absorb,” Kibogy said.
Other interventions such as breeding, disease control and farmer extension services will be implemented to increase productivity from five to 10 litres per day per cow.
“Ward-based feed centres will be established to supply feed to dairy farmers. The increased production will require additional investments in milk cooling and processing to handle the estimated 3.3 billion litres of milk to be formally marketed per year,” she said.
Farmer centric interventions are expected to increase productivity and production of milk while enhancing the profitability, resilience and sustainability of dairy farming.
“This will impact on other upstream activities with more milk available for processing, value addition and marketing,” Kibogy said.
According to the strategic plan, the Kenya Dairy Board (KDB) will assume a pivotal role in enhancing the quality and safety of dairy products through investments in milk cooling and processing infrastructure. Additionally, the plan outlines initiatives for product diversification, expanding dairy markets, and implementing minimum guaranteed prices for raw milk.
Chairman Genesio Mugo emphasized that the strategic plan is structured around five key focus areas aimed at securing the prosperity of the dairy sector.
“The launch of this strategic plan signifies our resolve to navigate challenges, seize opportunities and transform the dairy sector into a beacon of economic prosperity and social development,” he said.
We envision a future where dairy farming not only sustains livelihoods but also contributes significantly to Kenya’s food security and economic growth.”