Gov’t allocates Ksh500M to purchase surplus milk


The Ministry of Co-operatives and MSMEs Development has allocated Ksh500 million to Kenya Co-operative Creameries (KCC) to purchase excess milk after a dairy boom following the heavy rains being experienced across the country.

While addressing the press in his office, Cabinet Secretary (CS) Simon Chelugui announced that the funds will be immediately disbursed to KCC to purchase surplus milk from farmers until January next year.

Chelugui explained that the ongoing rains have resulted in abundant pasture and fodder, leading to increased milk production and in turn causing a surplus in the market, prompting the government to provide the financial assistance.

According to the CS, to prevent wastage and lack of market KCC will purchase the milk at Ksh45 per litre then process the excess milk into powder form and store it in strategic food reserves for future use.

In line with the government’s comprehensive plan to develop the dairy value chain, Chelugui announced that Ksh3.8 billion will be allocated over the next two financial years to expand and upgrade KCC facilities across the country.

“This modernization program will focus on the upgrade and expansion of KCC plants in Eldoret, Dandora, Nyahururu, Nyambene, Mogotio, Kabianga and Kiganjo,” he said.

By Amos Kerich

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