New feed mill to support Kenya's Meru Central Dairy Cooperative

The Government of Kenya has partnered with the country's farmers to commission the Sh500-million Meru Maziwa Millers Feed Mill at Mitunguu in Imenti South Sub-County

While the Government contributed Sh200mn for the project, farmers raised the remaining Sh300mn.

According to Deputy President, Kithure Kindiki, farmers can look forward to increased profit margins once the new facility is operational, reducing the cost of dairy feed from the current average of Sh3,200 to about Sh2,800 per bag. With revised farm-gate rates of Sh52 per litre from Sh50 since this month, dairy farmers can expect boosted returns as well. 

Further securing quality and productivity of dairy herds for farmers, the Government has also announced reduced cost of sexed semen from Sh7,000 to Sh1,400. 

“As we celebrate the success of Meru Dairy, let us also remember what the government has done for you. We will continue increasing the supply of subsidised sexed semen across the country,” Kindiki said. 

He highlighted that the Government is especially prioritising the dairy sector to boost food security and farmers' incomes. A Sh100mn budget plan is already in place for Phase Two of the mill, while another Sh100mn through the supplementary budget will facilitate Phase Three.

According to the Chief Executive Officer of the Meru Central Dairy Cooperative Union, Kenneth Gitonga, the feed mill investments will be transformational for the 720,000 lpd-capacity cooperative, which is already seeing substantial progress. 

Gitonga is anticipating expansion encouraged by the promising numbers reflecting the cooperative's steady growth. Over the last three years, farmers membership rose from 11,012 to 161,874. Daily milk intake has increased from 287,000 litres to 670,000 litres, and the number of affiliated cooperative societies has grown from 139 to 168. 

The cooperative is aiming to make Sh25bn in annual sales next year, given its consistent returns from Sh9.3bn in 2023 to Sh20.1bn in 2025.