Rising Feed Costs Threaten Viability of Kenya's Dairy Farming
The Kenya Dairy Board has reported that the cost of producing a litre of milk ranges from Sh30 to Sh37, influenced by the farming system and production scale. Dairy farmers, particularly those engaged in zero-grazing, are facing significant challenges due to rising feed costs. A farmer from Kiambu County stated, "Feeds are extremely expensive and yet milk prices are not increasing at the same rate."
Some small-scale farmers have reduced their cattle numbers or abandoned dairy farming altogether due to high expenses. Despite these challenges, Kenya remains a leading dairy producer in Africa, ranking second after Egypt. In 2025, marketed milk volumes increased by 11.5% to 1.013 billion litres, and processed milk and cream rose by 13.4% to 704.4 million litres.
During the release of 25 solar-powered milk coolers, Livestock Development Cabinet Secretary Mutahi Kagwe addressed the burden on dairy farmers. He announced government initiatives to reduce production costs, such as inviting large-scale farming of yellow maize and soya to lower feed costs. The government is also leasing public land for feed production to reduce reliance on expensive commercial feeds.
The government has been investing in solar-powered milk coolers since 2017 to cut electricity costs and reduce post-harvest losses. Joshua Chepchieng, Secretary Administration, noted that 350 milk coolers were installed in 38 counties between 2017 and 2023, with plans to procure 230 more for 41 counties. Farmers appreciated this support but emphasized the need for stable milk prices.
Additionally, the government is collaborating with the National Treasury to allow duty-free importation of milk powder processing equipment. This expansion aims to support value addition and stabilize prices during surplus production. Kagwe stated, "Milk powder is what many African countries want to import from Kenya. Expanding our processing capacity means there will always be demand for milk."
Kagwe also warned against unregulated milk trade, citing health risks and its negative impact on the dairy industry. "Hawking is dangerous because we cannot guarantee the safety of unprocessed milk," he said, emphasizing the importance of processing for quality assurance.
