Kenya's Dairy Industry: A Comprehensive Overview
Milk Production and Processing
Kenya produces an estimated 5.2 billion liters of milk annually, reflecting a robust upward trajectory in milk production. The country's processing capacity is around 1.5 billion liters each year, underscoring the sector's growing importance in the national economy.
Dairy Cattle and Goats
The nation is home to approximately 3.4 million dairy cattle, playing a crucial role in its milk output. Additionally, around 1.8 million dairy goats contribute to the overall dairy production landscape, enhancing the diversity of dairy sources.
Cheese and Milk Powder Production
Kenya produces approximately 25,000 metric tons of cheese annually. Meanwhile, milk powder and whey production is estimated at 10,000 metric tons per year, catering to both domestic and export markets.
Key Dairy Enterprises
Brookside Dairy Limited stands out as one of the largest dairy processors in Kenya, offering a range of products including milk, cheese, and yogurt. New KCC (Kenya Cooperative Creameries) is another significant player, known for products like fresh milk, UHT milk, and powdered milk. The Githunguri Dairy Farmers Cooperative, operating under the 'Fresha' brand, plays a vital role in the local dairy industry. Suiya Farm in Kiambu County is renowned for its quality dairy cattle breeding and milk production.
Trade: Export and Import
Kenya exports approximately $50 million worth of dairy products annually, primarily to neighboring East African countries. The country imports around $15 million in dairy products each year, focusing on specialized items not widely available locally.
Significant Events and Developments
A notable event in Kenya's dairy industry is the recent $35 million investment aimed at enhancing the sector. This investment is expected to improve dairy farming practices, boost milk production, and strengthen food security. Additionally, Kenya's top beverage companies were recognized for their contributions at the 5th Annual Kenya Beverage Excellence Awards (KBEA). Dodla Dairy’s non-Indian operations, particularly in Africa, continue to grow, though margins in Kenya are under pressure due to strategic pricing initiatives.
The Kenya Development Corporation has allocated KSh 500 million to enhance MSME financing as part of a broader strategy to improve access to long-term credit for capital-intensive projects. Specifically, a KSh 500 million loan was provided to Githunguri Dairy Co-operative Society under a World Bank-backed initiative to aid farmers with equipment purchases and workforce expansion.
Kenya's Largest Dairy Processor
Meru Central Dairy Cooperative Union has emerged as Kenya's largest dairy processor, processing 640,000 liters per day, a testament to the scale and capability of the local dairy industry.
Kenyan farmers received Sh300 million in payments from New Kenya Cooperative Creameries. Over 10,000 farmers in Kenya received payments after months of delays, which alleviated financial strains and allowed them to manage their livestock and meet personal obligations.
Modified: 2026/01/18