Market News

Milk production hits 2-year high after rains

milk

Livestock production director Julius Kiptarus. FILE photo | nmg

Milk production hit a new high of 60 million litres in February, the largest volume since June 2016 when dairy farmers produced 66 million litres.

The rise in production was largely attributed to the ongoing heavy rains. It is eight per cent higher than January’s 47.92 million litres.

It portends good tidings for farmer’s because farm-gate milk prices have remained steadily high at between Sh28 and Sh35 for a litre of milk, unlike other times when a glut saw the prices drop to as low as Sh22 per litre.

Kenya has been reeling under poor milk production with 2017 yielding 535.71 million litres compared to 2016’s all-time high of 648.24 million litres.

Last year’s poor show was blamed on the prolonged drought that saw the government waive the 60 per cent import duty and a seven per cent dairy board levy to allow importation of 9,000 tonnes of milk powder by processors. The price of dairy products had gone up.

READ: Processors use powdered milk to bridge deepening supply deficit

Livestock Production director Julius Kiptarus said 350 Sh2.2 billion milk coolers with a capacity to store 3,000 litres are being distributed to dairy co-operative societies and farmer groups producing up to 500 litres a day.

Several counties have also invested in milk processing equipment with Murang’a County Creameries owning 35 milk coolers as well as a milk processing plant, which has forced processors to buy milk at a minimum price of Sh35.

Demand for processed milk is growing with some counties funding the free school milk programme where 250ml milk pouches are delivered to early childhood centres and to public primary schools.